Uranium Squeeze: Supply Crunch Drives 2026 Price Surge Outlook

Declining output, chronic underinvestment in new mines, and increased geopolitical risks connected with major suppliers Kazakhstan and Russia all contribute to a continuous worldwide uranium deficit into 2026. While total mine supply is operating at roughly 50% of the degree necessary to replace reactor demand, U.S. uranium production fell dramatically by 44% in Q3 2025. With momentum toward multi-year highs, this structural deficiency has caused fast utility restocking that has pushed spot uranium prices up 28% from lows in 2025 to over $80 per pound.

Primarily as nuclear fuel, where its fission reaction creates extreme heat to create steam that powers electricity-producing turbines in nuclear power facilities all around, uranium remains essential. Apart from energy, tiny yet specialized industrial uses include improving refractory materials, radiation shielding, specialized lighting filaments, coloration in ceramics and glass, strengthening steel alloys, and developing uses in specific battery technologies.

With analysts expecting uranium to rise to $92–$135 per pound amid booming nuclear reactor building, explosive power demand from AI data centers, postponed utility contracting, and persistent supply-demand imbalances, the 2026 price outlook seems highly bullish. Many market players believe that if manufacturers uphold discipline around long-term contract ceilings of nearly $130 per pound, spot prices will resolutely breach $90–$100, hence setting the ground for one of the major commodity rallies of the decade.