Ice Air

Ice Air Wins Grant to Make More Electric Heat Pumps

Dec. 15, 2023
DOE awards manufacturer funds to build new South Carolina plant to increase U.S. production of cold climate and geothermal heat pumps.


Mount Vernon, NY, December 14, 2023 – Ice Air, a leading global provider of climate control solutions, has been awarded a grant by the Office of Manufacturing and Energy Supply Chain (MESC) within the Department of Energy (DOE) to support the manufacturing needed to meet the anticipated growing demand for electric heat pump HVAC equipment.  

The notification letter was received on November 15, 2023.

“This is a milestone for our company,” said Ric Nadel, Ice Air Founder and CEO. “The advances in heat pump technology enable far greater efficiencies and immediate energy cost-savings. Ice Air is excited to build an American manufacturing resource that will provide customers greater access and will help protect them from supply-chain issues.”

Ice Air designs efficient and durable packaged through-wall systems, Geothermal water source heat pumps for space heating and cooling, and commercial size heat pumps for water heating and cooling. A wide range of markets that rely on this equipment for individual room temperature control include luxury and market-rate rental apartment buildings, affordable housing and hotels and travel lodges. The urgent need for multi-family residences, senior living and healthcare facilities is expected to further increase the booming demand.

“The existing building demand for replacement, through-the-wall systems in New York City alone, is estimated at over 300,000 units,” Tom Glass, Ice Air Director of Sales explains. There are limited cost-effective, climate-positive options available. Ice Air is uniquely positioned. By developing and enhancing these products, we will be able to offer the widest range of superior solutions for both new construction, replacements and renovations. I believe that is what caught the attention of the Department of Energy.”

“Getting more American-made electric heat pumps on the market will help families and businesses save money with efficient heating and cooling technology,” said U.S. Secretary of Energy Jennifer M. Granholm. These investments will create thousands of high-quality, good-paying manufacturing jobs and strengthen America’s energy supply chain, while creating healthier indoor spaces through home-grown clean energy technologies.”

Secretary Granholm, called out Ice Air specifically in the official grant announcement, noted that heating and cooling homes, offices, schools, hospitals, military bases, and other critical facilities drives more than 35% of all U.S. energy consumption. Heat pump technology now can provide year-round comfortable temperatures in all climates with greater efficiency and cost-savings. It can also provides more efficient water heating.

Ice Air’s selection was invoked by President Biden using emergency authority based on climate change, to utilize the Defense Production Act (DPA) to increase domestic production of key clean energy technologies, including electric heat pumps.

“Ice Air has seen its revenue increase significantly from 2019 to 2022 with the development of these new technologies,” Nadel says. “More building designs will require advanced efficiency with this specific equipment and electrified products. Our new facility is a win-win for the environment and America.” The new plant will be located in Spartanburg, South Carolina.

Nadel adds, “Our valued customers saw this happening and backed up our initiative for the grant throughout the summer. Relationships are the driver of success. We are thrilled about how adding this manufacturing capability to our portfolio will benefit current customers and attract new ones.”

For more information on Ice Air and the grant, contact: Bob Cesiro, Ice Air, LLC, 80 Hartford Ave, Mount Vernon, NY 10553 T: 914-668-4700 or visit

About Ice Air

Ice Air, LLC, headquartered in Mount Vernon, New York, develops and manufactures a wide variety of HVAC units to provide superior heating and cooling systems for new construction, replacement and retrofit installations. Ice Air offers innovative technologies and provides world-class comfort at high efficiency levels, meeting standards that promote a healthy environment. The Ice Air product lineup includes Water Source Heat Pumps (WSHP), Packaged Terminal A/Cs (PTAC), Packaged Terminal Heat Pumps (PTHP), Single Packaged Air Conditioners and Heat Pumps (SPAC/SPHP), Fan Coil units (FCU), Hybrid Water Cooled A/C conditioners (HWCAC), Domestic Heat Pump Water Heaters (HPWH), Heat Pump Water Chiller/Heaters (HPWH-SC) and VRF solutions.

About President Biden’s Executive Order, And Defense Production Act Heat Pump Program Selections

Ice Air selection was invoked by President Biden using emergency authority based on climate change, to utilize the Defense Production Act (DPA) to increase domestic production of key clean energy technologies, including electric heat pumps.

Heat pumps are critical to reducing the nation’s reliance on fossil fuels, bolstering national security, and boosting energy independence to strengthen national defense, lowering consumer energy costs, improving energy efficiency, and mitigating the climate crisis. The U.S. Department of Energy (DOE) chose Ice Air and 8 other leading manufacturers that include Copeland, Honeywell, Mitsubishi Electric and York among others to share in the awarding of $169 million. This initiative will boost manufacturing of electric heat pump (air-to-air, geothermal, and air-to-water) and key components (compressors and refrigerants) at 15 sites in 13 states across the U.S.A.

All the organizations along with their proposed project locations and technologies can be found with the link below. The selected projects are the first awards from DOE’s authorization, invoked by President Biden using emergency authority on the basis of climate change, to utilize the Defense Production Act (DPA) to increase domestic production of five key clean energy technologies, including electric heat pumps.