Happy New Year! And welcome to the first stage of the HFC phasedown as mandated by the American Innovation and Manufacturing (AIM) Act. As of January 1, 2022, the production of HFC refrigerants, such as R-410A and R-404A, has been reduced by 10%, which will probably not have a significant effect on the HVACR industry. However, a steep cut comes in 2024, when production must be reduced to 60% of the baseline established by the Environmental Protection Agency (EPA). Everyone in the HVACR industry is going to feel the pain from that reduction.
So why are we phasing down an HFC such as R-410A, which has proven to be a reliable alternative to R-22? The reason HCFC refrigerants such as R-22 were phased out as of January 1, 2020 was because they were found to be damaging the ozone layer. While HFCs such as R-410A and R-404A don’t damage the ozone layer, they are considered to be contributing to global warming, which is why entities ranging from states to industry associations to environmental groups are calling for a reduction in their use.