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Hitachi Ltd. will withdraw its plan to build a $28 billion nuclear power plant in the UK as it is unlikely that the British government will provide additional support.
The project, which consists of building two nuclear reactors on the island of Anglesey, was suspended in January 2019 due to difficulty in securing funds.
The decision is still to be finalized by the company's board.
Hitachi did not rule out the possibility of reviving the project if additional funding support would be provided.
The project's cost increased one and a half times the original estimate to 3 trillion yen due to safety features.
Stalled negotiations with the British government for funding were attributed to the pandemic and the Brexit.
Hitachi's withdrawal is another blow to Japan's efforts to promote infrastructure exports as a key economic growth driver.
Toshiba Corp., another Japanese company, has withdrawn from its US nuclear power business.
