New lunar race begins: US, China plan nuclear reactors on Moon
A new phase in the global space race is taking shape, with both the United States and China announcing plans to build nuclear reactors on the Moon to support long-term human presence.
According to an article in The Conversation by Michelle L.D. Hanlon, professor of air and space law at the University of Mississippi, China has revealed plans to construct a lunar nuclear reactor by 2035 as part of its international research station project. U.S. officials, meanwhile, have indicated that a similar reactor could be operational by 2030.
NASA, along with the U.S. Department of Energy, has been working on small nuclear power systems for several years. These systems are designed to provide uninterrupted energy for lunar habitats, research stations, and potential mining operations. The move is seen as a strategic effort to establish a stronger presence on the Moon rather than a race to develop space-based weapons.
Historically, both the United States and the Soviet Union relied on radioisotope generators to power satellites, deep-space probes, and Mars rovers. This was done under the framework of United Nations guidelines adopted in 1992 to regulate the safe use of nuclear power in outer space.
International law does not prevent countries from deploying nuclear reactors on the Moon, provided they are used safely. The 1967 Outer Space Treaty, signed by major spacefaring nations, requires that space activities be conducted with respect for the interests of all countries. A reactor on the Moon, however, could influence how and where other nations operate nearby.
Experts say that locating reactors in resource-rich areas such as ice-filled craters at the lunar South Pole could give countries a significant advantage in securing water and other essential resources for long-term missions. Nuclear systems would also provide a reliable power supply in areas that receive little or no sunlight, where solar energy is insufficient. This would be critical for running habitats, life-support systems, and scientific equipment.
Officials from both countries have stressed that deploying nuclear reactors on the Moon is not a territorial claim, but rather the creation of essential infrastructure to support research and sustained human presence.
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India proposes preferential trade agreement with Mexico to deal with high tariffs
New Delhi (PTI): India has proposed a preferential trade agreement (PTA) with Mexico to help domestic exporters deal with the steep tariffs announced by the South American country, a top government official said on Monday.
Mexico has decided to impose steep import tariffs - ranging from about 5 per cent to as high as 50 per cent on a wide range of goods (about 1,463 tariff lines) from countries that do not have free trade agreements with Mexico, including India, China, South Korea, Thailand and Indonesia.
Commerce Secretary Rajesh Agrawal said that India has engaged with the country on the issue.
"Technical level talks are on...The only fast way forward is to try to get a preferential trade agreement (PTA) because an FTA (free trade agreement) will take a lot of time. So we are trying to see what can be a good way forward," he told reporters here.
While in an FTA two trading partners either significantly reduce or eliminate import duties on maximum number of goods traded between them, in a PTA, duties are cut or removed on a limited number of products.
Trading partners of Mexico cannot file a compliant against the decision on imposing high tariffs as they are WTO (World Trade Organisation) compatible.
The duties are within their bound rates, he said, adding that their primary target was not India.
"We have proposed a PTA because its a WTO-compatible way forward... we can do a PTA and try to get concessions that are required for Indian supply chains and similarly offer them concessions where they have export interests in India," Agrawal said.
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Citing support for local production and correction of trade imbalances, Mexico has approved an increase in MFN (most favoured nation) import tariffs (5-50 per cent) with effect from January 1, 2026 on 1,455 tariff lines (or product categories) within the WTO framework, targeting non-FTA partners.
Preliminary estimates suggest that this affects India's around USD 2 billion exports to Mexico particularly -- automobile, two-wheelers, auto parts, textiles, iron and steel, plastics, leather and footwear.
The measure is also aimed at curbing Chinese imports.
India-Mexico merchandise trade totalled USD 8.74 billion in 2024, with exports USD 5.73 billion, imports USD 3.01 billion, and a trade surplus of USD 2.72 billion.
The government has been continuously and comprehensively assessing Mexico's tariff revisions since the issue emerged, engaging stakeholders, safeguarding the interests of Indian exporters, and pursuing constructive dialogue to ensure a stable trade environment benefiting businesses and consumers in both countries.
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Federation of Indian Export Organisations (FIEO) Director General Ajay Sahai has said that Mexico's decision is a matter of concern, particularly for sectors like automobiles and auto components, machinery, electrical and electronics, organic chemicals, pharmaceuticals, textiles, and plastics.
"Such steep duties will erode our competitiveness and risk, disrupting supply chains that have taken years to develop," Sahai said, adding that this development also underlines the little urgency for India and Mexico to fast-track a comprehensive trade agreement.
Domestic auto component manufacturers will face enhanced cost pressures with Mexico hiking duties on Indian imports, according to industry body ACMA.
