Fusion Startup Proxima to Build €140M Superconducting Tape Factory
Proxima Fusion announced plans to invest €140 million in a factory for high-temperature superconducting tape, a key component for its fusion reactors. The company aims to reduce reliance on Asian suppliers, which currently dominate production. The facility will be funded with public and private money, including €21 million from Lower Saxony.
The planned €140 million facility will draw on both public and private capital, including €21 million from Lower Saxony. This strategy aims to counter the current market, where China and Japan dominate HTS tape production.
The startup's pilot reactor will consume 20,000 kilometers of the tape, with commercial plants needing twice that. Additionally, companies such as Veir are utilizing the tape to enhance data center performance.
The move could strengthen Western supply chains for a critical clean-energy component, potentially accelerating fusion development and reducing geopolitical vulnerabilities. It may also create specialized manufacturing jobs in Lower Saxony, though the substantial capital outlay carries financial risk if reactor timelines extend. Additionally, the tape's application in data centers could improve energy efficiency, offering indirect benefits to the broader tech sector and consumers reliant on digital infrastructure.