Honeywell Announces 42% Surcharge on R-454B

Unwelcome News

In the April announcement, Honeywell explained that the sharp price increase for R-454B is due to “unprecedented demand” that domestic production alone cannot meet. The company added that rising costs have also reached a tipping point, stating, “We have reached a point where the cumulative effect of increased costs of raw materials needed to meet demand for 454B is no longer sustainable without affecting reliability and the services we provide.”

To help bridge the supply gap, the company plans to source a significant portion of its R-454B from international markets to meet North American demand — a move that will subject it to tariffs recently imposed by the Trump administration.

As a result, Honeywell will apply a 42% surcharge on all R-454B orders placed on or after February 15, 2025, to offset rising costs associated with the recent tariff announcements. In addition, the company stated it would increase the price of R-454B by $4 per pound for all new orders beginning April 9, 2025 — with the 42% surcharge applied to the new, higher price.

Honeywell added that pricing for other Solstice® HFO products will increase by 10%, and pricing for Genetron® products will increase by 5%, as of April 9, 2025, in order to offset rising raw material costs.

The NEWS reached out to Chemours – another manufacturer of R-454B — to ask whether they plan to raise prices on R-454B in response to Honeywell’s increase, but did not receive a response by press time.

Contractor Response

Not surprisingly, HVAC professionals on social media are voicing significant concerns about the ongoing R-454B shortage, with many expressing frustration over the lack of preparedness and communication from manufacturers, especially with the busy summer season approaching. They are also concerned about price, with most saying they’re already paying upwards of $500 for a cylinder of R-454B – if they can get it at all.

In a Facebook group, several HVAC contractors complained that their local supply houses were only selling cylinders of R-454B to those who purchased a complete HVAC system. One contractor said he contacted eight different suppliers, and all of them told him the same thing: either buy a full system to get a cylinder, or get on a waiting list and wait for a call when it becomes available. He added, “But they’re backed up 12 weeks on their original order, and they already have people claiming those jugs.”

On a Reddit thread, some contractors blame the refrigerant manufacturers for failing to anticipate the demand, leading to inadequate production and supply. As one commenter noted, “They didn’t expect the industry to start selling R-454B units until the second or third quarter.”

Some believe the real issue behind the shortage isn’t the refrigerant itself but, as noted earlier, the limited availability of the cylinders required to store and transport A2Ls. As one distributor put it, “It’s 100% the tanks,” pointing to the scarcity of pressure relief disks and specialized valve stems required for A2L-rated cylinders.

However, other contractors are skeptical of that explanation, pointing out that if A2L cylinders are truly in short supply, it doesn’t explain why R-32 — another A2L refrigerant — is easy to find. As one contractor noted, he could get R-32 “all day” in Fort Worth, Texas, speculating it might be because the refrigerant has been in the market longer than R-454B.

Several other commenters pointed out that R-32 currently costs roughly half as much as R-454B, prompting some discussion about whether it’s possible to blend R-454B in the field, since it’s a mixture of R-32 and R-1234yf. It is important to note that attempting to create R-454B manually is absolutely not recommended and could result in serious safety and performance issues.

For the most part, however, contractors on social media seem resigned to the fact that for the near future, R-454B will be both hard to find and costly.