Why Is There a Shortage of the New Refrigerant (R454B)?
The HVAC industry has had many new regulations recently and a short review of this history might help understand the current situation. In 2019, manufacturers were no longer able to produce residential furnaces that had traditional AC powered PSC blower motors, favoring instead the more efficient DC powered ones. In 2020 we saw the end of production of R22 refrigerant and the beginning of the reduction in production of R410A. The M1 Efficiency Increase came in 2023, and now in 2025 we have begun the A2L refrigerant transition. This transition marks the end of production of all residential R410A equipment. The chosen refrigerant for most manufacturer’s is now R454B.
The discontinued production and availability of R410A equipment and the subsequent transition to R454B has caused a rapid Increase in demand of the R454B refrigerant itself. This increase demand was obvious, so didn’t the two companies who produce the refrigerant (Chemours and Honeywell) plan to be able to make enough refrigerant?
The short answer is yes, they did, but the problem is in a spring valve in the bottle that is required to transport the refrigerant. This valve has a global patten on it and there is only one manufacturer in the world that can produce it! So, the issue is getting enough bottles to be able to transport that much refrigerant throughout the country. As soon as word got around that R454B was going to be in short supply, distributors and contractors bought up all of it that they could. The slow supply of bottles and reduced backstock has created a global shortage.
Without a readily available supply of refrigerant, contractors can’t get this equipment to work correctly for their customers.
What are distributors, manufacturers, and contractors doing about this issue?
Obviously, production is happening every day, so some supply is becoming available, but how are distributors deciding how to disperse their limited supply? More often than not, they sell it to their existing customers as they purchase equipment from them. So even if a contractor has been a customer for a long time, they are often getting turned away unless they are purchasing 1, 2, or even 3 condensers. This has obviously ruffled feathers, but it’s understandable. When they do offer R454B to contractors, it is almost always in limited supply and extremely expensive.
Several manufacturers have begun overcharging their condensers with excess refrigerant. There is concern in the industry that this will shorten the longevity of the equipment and their components, but sometimes risks are required to overcome challenges.
Contractors have to face these challenges, and their hot customers, face to face every day.
There are several different alternatives that some have tried. One way contractors have overcome this shortage is by switching manufacturers. While most US manufacturers chose R454B, the rest of the world utilizes R32. In fact, North America is the only continent in the world that utilizes R454B. Goodman/Amana/Daikin chose to use R32 like the rest of the world and have been rewarded by this R454B shortage. Some contractors play the game with distributors and purchase in lower quantities and time equipment purchases with refrigerant availability. Some folks recover excess refrigerant from the equipment that they install and use that excess to charge other customer’s equipment. This might seem smart, but there is a grey area on whether this is legal or not. There have also been stories of contractors operating outside of legal allowances. Some contractors are purchasing the components of R454B and mixing their own refrigerants. Others have decided to drop other refrigerants, like R32 or R410A, into existing R454B systems. Both of these alternatives are highly illegal and are not practices we condone.
So what did Summit do to overcome this industry-wide situation?
The team at Summit loves strategizing and coming up with inventive ideas for dealing with all the challenges this industry throws our way. We decided to become refrigerant versatile prior to the shortage so that if something were to arise, we could have a great answer for our customers.
At the end of 2024 we decided to purchase a stockpile of R410 products. Remember the restriction is on the production of R410A equipment, not the installation of R410A equipment or the refrigerant. Second, just as the shortage was coming into view, Summit purchased enough R454B to get us through until well after the shortage is predicted to last. We also negotiated with multiple distributors, establishing a good relationship with several manufacturers so if one had issues, we could turn to the other. In vetting these different distributors, we didn’t stick to just R454B companies. We also established a relationship with Daikin, an R32 and side discharge specialist.
This diversity of equipment allows us to pivot with almost any market change. We are currently refrigerant versatile and ready to take care of all of our customer’s needs, no matter what they are and what the market throws at us. So, if you have HVAC maintenance, replacement, or repair needs; or if you are tired of limping along with your older unit, just know that you can count on Summit Heating & Cooling to be trained and prepared to get you comfortable again in your home. Remember, if you’re looking for the TOP reach for the SUMMIT, Summit Heating & Cooling.
