HomeFact Sheets: Bureau of International Security and Nonproliferation ...123 Agreements hide 123 Agreements Fact Sheet Bureau of International Security and Nonproliferation What is a 123 Agreement? Agreements for Peaceful Nuclear Cooperation or 123 Agreements – named after Section 123 of the Atomic Energy Act of 1954 – establish a legally binding framework for significant peaceful nuclear cooperation between the United States and its partners, providing a foundation for long-term, strategic civil nuclear partnerships globally. U.S. law generally requires a 123 Agreement to be in force before licensing significant exports of U.S.-origin nuclear material (e.g., nuclear reactor fuel) and equipment (e.g. nuclear reactors and major components) to another partner. What do 123 Agreements require of the United States and the cooperating partner? In addition to facilitating nuclear cooperation, 123 Agreements are at their core intended to advance shared nuclear nonproliferation and security objectives between the United States and its partners. As such, Section 123 of the Atomic Energy Act establishes nine nonproliferation criteria that all conforming 123 Agreements must contain. This includes legal obligations for U.S. partners to maintain strong standards with regard to International Atomic Energy Agency (IAEA) safeguards, as well as the physical security of nuclear material transferred subject to the agreement. 123 Agreements also ensure that the United States maintains consent rights over the retransfer or enrichment and reprocessing of U.S. obligated material supplied to another partner and that material or equipment transferred is not used for a nuclear explosive device or any other military purpose. The Department of State leads the negotiations of all 123 Agreements, with technical assistance and concurrence from the Department of Energy, and in consultation with the Nuclear Regulatory Commission. Once negotiated, the President approves the signing of a 123 Agreement which he or she then submits to Congress for review. Following the review period, a 123 Agreement can be brought into force, so long as a joint resolution of disapproval has not been enacted. How do 123 Agreements advance U.S. foreign policy objectives? 123 Agreements are important tools for advancing U.S. foreign policy objectives because they legally bind partners to strong nonproliferation and physical security standards and provide a foundation for enhanced strategic energy cooperation with partners. Active engagement under a 123 Agreement deepens political and economic relationships between the United States and its partners. A full-fledged nuclear cooperation partnership can lead to long-lasting political and economic ties that endure for decades and can be the catalyst for cooperation on a range of other foreign policy issues. Further, 123 Agreements aid the United States economy by promoting U.S. commercial competitiveness in the global civil nuclear market and providing greater opportunities for increased civil nuclear sales globally. With such agreements in place, U.S. companies that manufacture and export nuclear material, equipment, or reactor components – including the next generation of small modular reactors and advanced reactors – can be more competitive for civil nuclear projects in foreign markets, resulting in more high-quality job opportunities for workers in the United States and greater U.S. influence over global energy markets. What are the benefits of a 123 Agreement for a potential U.S. partner? A 123 Agreement with the United States allows a partner to access the benefits of peaceful nuclear cooperation with one of the most advanced, safe, and reliable civil nuclear suppliers in the world, while also signaling their shared commitment to strong international standards of nuclear nonproliferation and nuclear security. The civil nuclear cooperation enabled by such an agreement can also empower partners to advance their own energy goals, including those related to energy security and diversification. 123 Agreements are not only trade or commercial agreements; rather, they are fundamentally political framework agreements we have with some of our most important strategic partners. More broadly, 123 Agreements can provide a platform for enhanced bilateral cooperation on nuclear energy, science, and technology. How many 123 Agreements does the United States have in force? As of February 3, 2025, the United States has 25 123 Agreements covering 49 countries, the IAEA, and Taiwan. The agreement with Taiwan was negotiated through the American Institute in Taiwan. Argentina Australia Brazil Canada China European Atomic Energy Community (Euratom) IAEA India Indonesia Japan Kazakhstan Republic of Korea Mexico Morocco Norway Philippines Russian Federation Singapore Switzerland Taiwan Turkey Ukraine United Arab Emirates United Kingdom Vietnam Tags Arms Control and Nonproliferation Bureau of International Security and Nonproliferation International Law, Treaties, and Agreements Peaceful Nuclear Cooperation