Proxima Fusion, a German nuclear fusion start-up backed by Google that is developing superconducting-magnet technology, is to invest €140 million in Lower Saxony to make a key material for reactor magnets.
The plant will produce high-temperature superconducting tape, a specialist material used to build the powerful magnets that hold fusion reactions in place.
The company said the project was supported by a €21 million contribution from the German state.
The aim is to scale up production of a material currently supplied by only a handful of manufacturers in China and Japan, which Proxima casts as an industrial resilience move for future fusion power plants.
"We need some of that supply chain also in Europe," said Francesco Sciortino, a Proxima co-founder.
Proxima has raised €650 million, including public grants, since 2023.
The investment comes as private fusion funding has concentrated in the United States, which accounted for about 70% of global private capital, or $2.1 billion, in the first eight months of 2026.
The company said the factory would help meet the material specifications for the demonstration reactor it plans to operate by 2031.
