The Environmental Protection Agency (EPA) announced limits on highly potent greenhouse gases used in refrigerators and air conditioners on Tuesday, July 11. The gases, known as hydrofluorocarbons (HFCs), often leak through pipes or appliances that use compressed refrigerants. They are considered a major driver of global warming, thousands of times more powerful than carbon dioxide.

“With today’s final rule, this Administration is continuing to deliver win-wins for climate action and U.S. manufacturing competitiveness while ensuring that American workers reap the benefits of a growing global market for HFC alternatives,” White House National Climate Adviser Ali Zaidi said in an EPA press release.

The EPA rule will impose a 40% overall reduction in HFCs in refrigerators and air conditioners from 2024-2028. It’s part of a global phaseout designed to slow climate changes. It also aligns with the American Innovation and Manufacturing (AIM) Act, a 2020 law that calls for an 85% reduction in production and use of the climate-damaging chemicals by 2036.

“This latest allocation rule is a critical step in the implementation of the AIM Act schedule for phasing down hydrofluorocarbon refrigerants,” Air Conditioning, Heating and Refrigeration Institute President and CEO Stephen Yurek said. “Our industry appreciates the work of the EPA and the timely issuance of this rule, as we prepare for the next HFC reduction step-down next January.”

The AIM Act has accelerated an industry shift from HFCs to alternative refrigerants. These refrigerants use less harmful chemicals and are widely available throughout the country. The law also averts a previous patchwork of state laws and regulations that govern HFCs.