Diversified CPC Urges EPA to Level Playing Field for U.S. Manufacturers of Products with Hydrofluorocarbons

Diversified CPC International (DCPC), an industry leader in the production and distribution of propellants, refrigerants, and specialty gas products, is urging the United States Environmental Protection Agency (EPA) to empower domestic manufacturers of products with hydrofluorocarbons (HFCs) to fairly compete with foreign manufacturers during the HFC phasedown, which goes into effect January 1, 2022.

The phasedown is part of the American Innovation and Manufacturing (AIM) Act, which was enacted in December 2020 to reduce HFC production and consumption by 85% over the next 15 years through an allowance and trading program. However, the baseline for the allowance structure does not include imported products containing HFCs (IPC). A final rule establishing the trading system is expected before the end of September.

“We understand that the EPA is required by the AIM Act to restrict the supply of HFCs (including imports) in the U.S.,” said Bill Auriemma, president and CEO of DCPC, in his communication to the director of the EPA’s Office of Air and Radiation.

“Therefore, we suggest the EPA must also require allowances for IPC starting in 2022 to keep with the intent of the AIM Act, which is to keep U.S. Workers and Manufacturers competitive with (imported) products which are sold in the U.S.

“To do otherwise, or to delay in addressing this key issue until 2024, will result in an unlevel playing field for U.S. manufacturers. The negative impact of this type of error will include the potential loss of tens of thousands of good-paying American manufacturing jobs and a substantial reduction in tax revenue for the U.S.”

As a leader in the production and distribution of environmentally friendly products, DCPC felt compelled to provide input on behalf of its customers, and industry and trade association partners, which collectively represent more than 200,000 employees, over $180 billion in annual revenue, and .51% of the total U.S. Gross Domestic Product.