Russia imposes temporary cap on uranium shipments to US

(MENAFN) Russia has imposed a temporary cap on the export of enriched uranium to the United States, a response to Washington's ban on purchasing Russian nuclear fuel. The Russian government's decision also extends to exports under foreign trade agreements with entities registered within US jurisdiction, although exceptions will be made for supplies under one-time licenses approved by the Federal Service for Technical and Export Control.

The move follows a September statement by President Vladimir Putin, who suggested limiting exports of strategically important materials like uranium in retaliation for Western sanctions targeting Russia's access to foreign goods. Despite these restrictions, Putin noted that Russia continues to supply some products to the global market, with certain buyers even stockpiling Russian goods.

In May, US President Joe Biden signed a bill prohibiting imports of Russian enriched uranium, despite warnings of potential economic fallout. The law does allow shipments under certain waivers, and provides $2.7 billion in federal funding to boost US uranium enrichment capabilities. In 2022, Russia accounted for nearly 25% of the uranium fueling US commercial reactors, making it the top foreign supplier.

Although the US has domestic uranium deposits, they are insufficient to meet demand, while Russia controls the world’s largest uranium enrichment complex, representing almost half of global capacity. The export restrictions caused uranium prices to spike, with bids for future deliveries rising by $4 per pound. Experts warn that utilities may face supply shortages in 2025 if alternative sources aren't secured.

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