In a bid to compete with the world's largest nuclear power sector, China Power Investment Corp, is merging with the State Nuclear Power Technology Corporation with the goal of becoming a top exporter of nuclear reactors in the future.

Reports said the China Power controls about 10 percent of the China nuclear power market while the State Nuclear was created to handle power technology transfers from Westinghouse Electric Co. in the United States.

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Industry experts said  the merger of the two nuclear power firms would create one single company with a total net worth of 600 billion yuan or $96 billion.

Reports said the merger will boost and expand its business in China and will eventually compete with the high stake players in the nuclear power industry in the global market.

"The merger will help them expand in China, and the overseas market in the long run," said Francois Morin, Beijing-based China director of World Nuclear Association.

China Power and its 5 listed companies in the mainland had announced that they have received notification from China's Assets Supervision about the planned merger. The five China listed companies include Jilin Power, Shanghai Electric and Dongfang Power.

Reports said although details of the proposed merger have yet to be finalized, shares of China Power listed companies have shot up following a report of the merger in the news.

Beijing promised in January that it would help Chinese firms to expand its trade and services globally, particularly in the railway sector and nuclear power industry.

Experts said some of the trading partners of China were concerned and afraid over the merger saying that this could signal the start of another wave of China's subsidized exports.

China has been reportedly engaged in financing services and construction work to its nuclear power projects abroad and experts predicted that China will be exporting reactors by 2020 and will become a major player in the global  nuclear industry by 2030.

Several countries currently dominate the global nuclear market overseas. Among these are Russia, France and Japan.

TagsChina Power Investments Corp, Nuclear Power, State Nuclear Power technology