New space race: Acting Nasa chief Duffy to announce plan for building nuclear reactor on moon this week- Here's what we know

US transportation secretary Sean Duffy is set to reveal accelerated plans for constructing a lunar nuclear reactor this week, marking his first significant initiative as Nasa 's interim administrator.

According to documents reviewed by POLITICO, this announcement will establish a clearer timeline for the lunar reactor project, despite Nasa facing substantial budget reductions. This initiative demonstrates Duffy's intention to influence Nasa's policy direction, even as he faced criticism for managing dual roles.

"It is about winning the second space race ," said a Nasa senior official, granted anonymity to discuss the documents ahead of their wider release.

Following a disagreement with Tesla CEO Elon Musk in July, President Donald Trump appointed Duffy after withdrawing billionaire Jared Isaacman's nomination.

Duffy has also issued instructions to expedite the International Space Station 's replacement. These decisions could enhance American progress towards lunar and Martian missions, objectives that China is also pursuing.

These initiatives reflect the Trump administration's emphasis on human spaceflight. The White House's 2026 budget proposal increases funding for crewed missions whilst significantly reducing other programmes, including a nearly 50 per cent reduction in science mission funding.

The reactor initiative requires Nasa to request industry proposals for a 100 kilowatt nuclear reactor, targeting a 2030 launch date, crucial for lunar astronaut missions. Previously, Nasa funded research for a 40 kilowatt lunar reactor, planning deployment in the early 2030s.

The directive warns that the first nation to establish a reactor could "declare a keep-out zone which would significantly inhibit the United States," reflecting concerns about a China-Russia collaborative project.

Nasa must appoint a project leader and gather industry feedback within 60 days. The 2030 launch target aligns with China's planned first lunar landing.

Nasa maintains involvement in nuclear development despite the Pentagon's recent termination of a joint nuclear-powered rocket engine programme.

"While the budget did not prioritise nuclear propulsion , that wasn't because nuclear propulsion is seen as a non-worthy technology," the Nasa official stated.

The space station directive seeks to replace the current International Space Station with commercial alternatives through revised contract procedures.

Nasa intends to award contracts to at least two companies within six months of the proposal request. The goal is to establish a new station by 2030, preventing China from being the sole operator of a crewed orbital station.

Several companies, including Axiom Space, Vast, and Blue Origin, have shown interest. However, legislators have expressed worry about insufficient funding allocation speed.