Rheem Manufacturing Company
Rheem Manufacturing Company is a privately held global manufacturer of heating, cooling, water-heating, pool-heating, and commercial-refrigeration equipment.
Last updated October 14, 2026
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Overview
Rheem Manufacturing Company is a privately held American manufacturer of heating, ventilation, air-conditioning, water-heating, pool and spa heating, and commercial refrigeration equipment. Headquartered in Atlanta, Georgia, the company operates as an independent subsidiary of Japan-based Paloma Industries and sells products in North America, Latin America, Europe, the Middle East, Asia-Pacific, and other international markets. Its principal consumer-facing brands include Rheem, Ruud, Richmond, Raypak, Friedrich, Eemax, Intergas, Solahart, WeatherKing, Sure Comfort, and several commercial refrigeration brands. The company began in 1925 when brothers Richard S. Rheem and Donald L. Rheem, with financial assistance from their brother William K. Rheem, entered the petroleum-packaging industry. The early business manufactured galvanized steel drums in Emeryville, California, in cooperation with Pacific Galvanizing Company. Rheem Manufacturing Company was formally organized in 1930 after acquiring that operation, and it expanded through the purchase of Republic Steel's package business. The latter transaction gave Rheem access to boilers and tanks and provided a route into water heating. Water heaters became central to the company's identity. Rheem expanded to Australia in 1936 and was described as the largest United States manufacturer of automatic water heaters by 1941. During the Second World War, the company redirected substantial capacity toward wartime production, including shell casings, aircraft components, and work associated with a Liberty ship. After the war, Rheem continued to develop water-heating technology, notably introducing porcelain glass-lining for tank interiors in 1954. The process was intended to improve tank durability and became an important feature of its water-heater products. Rheem broadened into residential climate control in 1956 with the Rheemaire central heating and air-conditioning line. It later established residential heat-pump and HVAC production in Fort Smith, Arkansas, and developed a continuing position in furnaces, air conditioners, heat pumps, air handlers, controls, and indoor-air-quality equipment. The company has emphasized efficiency and product engineering, including early adoption of scroll compressors across its residential HVAC range and the introduction of a 14-SEER remote condensing unit in the 1990s. Its brand portfolio expanded through acquisitions and related businesses. Rheem acquired Ruud in 1960, adding a long-established water-heating and HVAC name. Other important additions included Raypak, Southcorp's water-heating operations, Solahart, Eemax, Heat Transfer Products Group, Intergas, Friedrich Air Conditioning, DEJONG, and Nortek Global HVAC. These transactions increased Rheem's reach in pool heating, commercial boilers, electric tankless water heating, solar water heating, high-efficiency boilers, air conditioning, and commercial refrigeration. Rheem also owns or supports brands such as Richmond and distributes products through professional, retail, and home-improvement channels. The company changed ownership several times. Pace Industries acquired Rheem in 1984, and the container business was discontinued in 1985. An attempted acquisition by MLX Corporation was reported in 1987 but did not close. In 1988, Pace Industries was acquired by Paloma, a privately held Japanese company seeking international growth. Rheem has remained within the Paloma organization since then. In the twenty-first century, Rheem has presented itself as a diversified climate-and-water solutions company rather than only a water-heater maker. Its portfolio includes conventional and heat-pump water heaters, tankless systems, gas and electric equipment, residential and commercial HVAC, pool and spa heating, refrigeration, replacement parts, and connected or efficiency-focused products. Sustainability has become a prominent corporate theme. In 2019, Rheem announced goals intended to guide manufactu…
History
Rheem's origins lie in the petroleum-packaging industry. In 1925, brothers Richard S. Rheem and Donald L. Rheem began manufacturing galvanized steel drums in Emeryville, California, in partnership with Pacific Galvanizing Company. Their brother William K. Rheem helped finance the venture. The Rheem Manufacturing Company was formally organized on January 22, 1930, after the partnership was acquired. A further purchase of Republic Steel's package business added plants and expertise in boilers and tanks, enabling Rheem to enter water heating. The company established an Australian operation in 1936 and expanded rapidly in automatic water heaters. By 1941, it was identified as the largest United States producer of automatic water heaters. During the Second World War, Rheem devoted much of its capacity to defense manufacturing, including shell casings, aircraft parts, and work connected with a Liberty ship. It also operated a former Bethlehem Steel mill in Danville, Pennsylvania, for munitions production; that facility was sold in 1946. Postwar product development strengthened Rheem's water-heating business. In 1954, the company introduced porcelain glass-lining for water-heater tanks, a technology intended to extend service life by protecting the tank interior. In 1956, Rheem entered central residential heating and air conditioning under the Rheemaire name. This move ultimately made HVAC one of the company's principal business areas. Rheem opened a plant in the Netherlands in 1968, began producing residential heat pumps and HVAC equipment in Fort Smith, Arkansas, in 1970, and introduced the Richmond Water Heaters brand in 1983 for hardware and home-improvement distribution. Rheem's brand and corporate portfolio expanded through acquisition. It bought Ruud Manufacturing Company in 1960, National Heater Company in 1969, and Raypak in 1985. In 1984, Pace Industries acquired Rheem, and Rheem ended its original steel-container business the following year. A proposed MLX acquisition reported in 1987 failed to close. In 1988, Paloma acquired Pace Industries, bringing Rheem into the privately held Japanese group that remains its parent organization. During the 1990s and 2000s, Rheem emphasized HVAC efficiency and expanded its distribution relationships. It adopted scroll compressors broadly across its residential HVAC lineup and introduced a 14-SEER remote condensing unit in 1997. In 1998, it began supplying Home Depot with water heaters carrying the GE brand. Rheem acquired or developed additional businesses in water heating, solar hot water, commercial refrigeration, and replacement parts, including Southcorp Holdings' water-heating interests, Solahart, and Heat Transfer Products Group. The company continued to broaden its international and technical footprint after 2000. It acquired Eemax in 2014, added water-heating operations associated with Grupo Industrial Saltillo in 2017, acquired Intergas through Paloma Rheem Global in 2019, and added Friedrich Air Conditioning in 2021. DEJONG joined the group in 2022, strengthening stainless-steel hot-water-tank capabilities, followed by Nortek Global HVAC in 2024. Rheem has also pursued product innovation and public sustainability positioning. In 2009, Rheem and Ruud introduced a hybrid heat-pump water heater, marketed as substantially more efficient than comparable conventional electric water heaters. The company announced centennial sustainability goals in 2019, covering products, manufacturing processes, and facilities. Later sustainability reporting addressed greenhouse-gas emissions, energy use, waste reduction, and zero-waste-to-landfill objectives. The company has received repeated design, energy-efficiency, and environmental recognitions. Leadership changed in 2008 when J. R. Jones succeeded I. S. Farwell as president and CEO. Chris Peel became president and CEO in 2018. Rheem's public profile has also been supported by NASCAR sponsorship beginning in 2007, partnerships with Kevin Harvick, Richard Childress Racing, and Joe Gibbs Racing, and community initiatives with Habitat for Humanity and disaster-relief organizations. At its 2025 centennial, Rheem remained an active global manufacturer with businesses spanning residential and commercial climate control, water heating, pool heating, refrigeration, parts, and related technical services.
- 2025
Rheem celebrates its centennial
[1]The company marks 100 years of operation and undertakes a Habitat for Humanity home-building partnership in Atlanta.
- 2024
Nortek Global HVAC acquired
[1]Rheem acquires Nortek Global HVAC and further expands its HVAC business.
- 2022
DEJONG acquired
[1]Rheem adds DEJONG, a Netherlands-based producer and supplier of stainless-steel hot-water tanks.
- 2021
Friedrich Air Conditioning acquired
[1]Rheem expands its air-conditioning portfolio through the acquisition of Friedrich Air Conditioning.
- 2019
Centennial sustainability goals announced
[1]Rheem sets sustainability objectives for products, manufacturing, and facilities leading to its 2025 centennial.
- 2018
Chris Peel becomes president and CEO
[1]Chris Peel succeeds J. R. Jones as president and chief executive officer.
- 2009
Hybrid heat-pump water heater introduced
[1]Rheem and Ruud introduce a hybrid heat-pump water heater positioned as a high-efficiency alternative to conventional electric units.
- 2007
NASCAR sponsorship program begins
[1]Rheem begins a racing sponsorship program initially associated with Kevin Harvick and Kevin Harvick Incorporated.
- 1997
14-SEER remote condensing unit introduced
[1]Rheem introduces a residential remote condensing unit rated at 14 SEER.
- 1994
Scroll compressors adopted across residential HVAC
[1]Rheem becomes an early residential HVAC manufacturer to use scroll compressors broadly across its lineup.
Products and positioning
A privately held, vertically integrated heating, cooling, water-heating, pool-heating, and refrigeration group positioned around reliability, professional distribution, energy efficiency, sustainability, and broad multi-brand coverage. A global heating, cooling, and water-heating brand serving residential and commercial customers, with emphasis on efficient equipment, indoor comfort, water heating, and connected control.
Heating and cooling · 1956
Rheem residential HVAC
Rheem's core residential HVAC range includes air conditioners, heat pumps, gas and oil furnaces, air handlers, thermostats, and indoor-air-quality equipment. The portfolio is sold through professional channels and is positioned around system efficiency, serviceability, and integration across heating and cooling applications.
Water heating
Rheem water heaters
Rheem manufactures residential and commercial water heaters using gas, electricity, heat-pump, tankless, and other configurations. The company's water-heating history includes early automatic storage systems and the introduction of porcelain glass-lining for tank interiors. Rheem products are distributed in professional, retail, and international markets. Rheem’s water-heating portfolio serves residential and commercial hot-water needs. The range includes equipment developed for different installation conditions, capacities, energy sources, and efficiency requirements. Product availability and specifications vary by country and model, and the category includes both conventional and higher-efficiency solutions.
Heating, cooling, and water heating · 1897
Ruud
Ruud is Rheem's major heating, cooling, and water-heating brand. It traces its roots to Edwin Ruud's late-nineteenth-century automatic gas water-heater business and now covers furnaces, air conditioners, heat pumps, water heaters, and related equipment.
Water heating · 1983
Richmond Water Heaters
Richmond was introduced as a water-heater brand for hardware stores and home-improvement centers. It gives Rheem a retail-oriented label alongside its professional Rheem and Ruud offerings.
Pool heating and boilers
Raypak
Raypak supplies gas-fired and heat-pump pool and spa heaters as well as commercial boilers. The brand broadens Rheem's presence beyond residential HVAC and domestic water heating into recreational and commercial thermal applications.
Tankless water heating
Eemax
Eemax specializes in electric tankless water heaters and related point-of-use or commercial hot-water applications. Its products complement Rheem's storage and heat-pump water-heating lines.
Air conditioning
Friedrich
Friedrich is Rheem's air-conditioning brand, known for room and specialized air-conditioning products. Its addition expanded Rheem's capabilities in air conditioning beyond its traditional central HVAC portfolio.
Solar energy and water heating
Solahart
Solahart, operated through Rheem Australia, offers solar hot-water systems and related solar-power and battery-storage products. The brand gives Rheem a presence in renewable residential energy systems, particularly in Australia and selected international markets.
Boilers and water heating
Intergas
Intergas manufactures high-efficiency gas boilers and water heaters. The brand adds European heating technology and distribution capabilities to the Paloma-Rheem portfolio.
Commercial refrigeration
Heat Transfer Products Group
Heat Transfer Products Group supplies commercial refrigeration equipment through brands including Russell, Witt, ColdZone, and Kramer. The business extends Rheem's thermal-equipment portfolio into food-service and commercial cooling applications.
Boilers
Rheem boilers
Rheem boilers are part of the company’s broader heating-equipment offering for building applications. The portfolio includes high-efficiency and condensing boiler solutions referenced in the supplied brand material. These systems are intended for professional installation, with suitability depending on building requirements, fuel type, local regulations, and model specifications.
Heating and cooling
Rheem HVAC systems
Rheem HVAC equipment addresses space-heating and cooling requirements in residential and commercial environments. The category covers systems used to regulate indoor temperature and comfort, with model selection affected by climate, building size, installation configuration, and local technical standards. The company presents these products as part of an integrated heating and cooling portfolio.
Indoor air treatment
Rheem air-treatment equipment
Rheem’s related air-treatment products extend its building-equipment scope beyond heating and cooling generation. These products are intended to support indoor environmental management and may be paired with HVAC installations. Specific functions, configurations, and availability depend on the market and product line.
Controls
Rheem smart thermostatic and connected-control products
Rheem offers smart thermostatic and connected-control products associated with the management of heating, cooling, and water-heating equipment. These controls are positioned to improve monitoring and user control of compatible systems. Features and compatibility are model- and market-specific.
Marketing campaigns
- 2025Rheem centennial community partnership
United States
For its centennial, Rheem partnered with Habitat for Humanity to help build a home for a military veteran in Atlanta.
Outcome. The initiative linked the centennial celebration with housing and community support.
- 2024Bubba Pollard NASCAR sponsorship
United States
Rheem announced sponsorship of Andrew “Bubba” Pollard for his NASCAR Xfinity Series debut.
Outcome. The sponsorship extended Rheem's driver-focused racing activities.
- 2022Rheem and Kevin Harvick 15th-anniversary racing partnership
United States
Rheem reunited with Kevin Harvick and the No. 4 team for three NASCAR Cup Series races to mark the company's fifteenth year in racing sponsorship.
Outcome. The campaign reconnected Rheem with an early motorsports partner.
- 2018Joe Gibbs Racing partnership
United States
Rheem joined Joe Gibbs Racing and supported drivers including Ryan Preece and Christopher Bell, while also serving as an associate sponsor of Kyle Busch's No. 18 Cup car.
Outcome. The partnership increased Rheem's exposure in NASCAR's national series.
- 2017Raceway official heating and cooling provider program
United States
Rheem was named the official heating and cooling provider for Sonoma and Pocono raceways, extending its NASCAR presence into venue partnerships.
Outcome. Rheem gained branded association with two major motorsports venues.
- 2007Rheem NASCAR sponsorship
United States
Rheem began a NASCAR marketing program with Kevin Harvick Incorporated. Sponsorship later continued through Richard Childress Racing and other teams and drivers, using motorsports visibility to support the Rheem and Ruud brands.
Outcome. The program developed into a long-running sports-marketing platform with multiple team and driver relationships.
Brand decisions
2024
Acquisition of Nortek Global HVACM&ABackground
Rheem sought to broaden its HVAC capabilities and international product portfolio.
Action taken
Rheem acquired Nortek Global HVAC.
Aftermath
The transaction expanded Rheem's HVAC business and added further manufacturing and product capabilities to the group.
2019
Centennial sustainability strategyStrategyBackground
Rheem prepared for its 2025 centennial amid increasing attention to energy efficiency, greenhouse-gas emissions, manufacturing waste, and sustainable product design.
Action taken
The company announced sustainability goals covering its products, manufacturing processes, and plants.
Aftermath
Later sustainability reports described work on emissions intensity, energy consumption, waste reduction, zero-waste-to-landfill objectives, and technical education.
2009
Launch of hybrid heat-pump water heatersProduct launchBackground
Residential water heating was facing growing demand for lower energy consumption and improved operating efficiency.
Action taken
Rheem and Ruud introduced hybrid heat-pump water heaters designed to use substantially less electricity than comparable conventional electric units.
Aftermath
The launch strengthened Rheem's positioning in high-efficiency water heating and helped broaden its product mix beyond conventional storage heaters.
1985
Exit from steel containersStrategyBackground
Rheem had begun as a manufacturer of galvanized steel drums and other petroleum containers.
Action taken
The company discontinued its container line and concentrated more heavily on water heating and HVAC.
Aftermath
The decision ended Rheem's original core business after roughly six decades and reinforced its identity as a thermal-equipment manufacturer.
Recent events
- 2025
Rheem marks its 100th anniversary[1]
Campaign
Rheem commemorated its centennial and partnered with Habitat for Humanity on a home-building project for a military veteran in Atlanta.
- 2025
Rheem continues NASCAR sponsorship with Joe Gibbs Racing[1]
Campaign
The company continued its sponsorship relationship with Joe Gibbs Racing and driver Christopher Bell.
- 2024
Rheem publishes its sixth sustainability report[1]
Other
The report described progress on greenhouse-gas intensity, manufacturing waste, and efforts to move facilities toward zero-waste-to-landfill performance.
- 2024
Rheem named ENERGY STAR Partner of the Year[1]
Other
Rheem was recognized as an ENERGY STAR Partner of the Year for the fourth consecutive year.
- 2024
Rheem acquires Nortek Global HVAC[1]
M&A
Rheem expanded its HVAC portfolio through the acquisition of Nortek Global HVAC.
- 2023
Rheem receives multiple 2023 design and innovation awards[1]
Other
The company received recognition from the IoT Breakthrough Awards, GOOD DESIGN, and the Edison Awards.
- 2022
Rheem receives recognition for product design and sustainability[1]
Other
Rheem received two GOOD DESIGN Awards and was recognized by Green Builder Media as an Eco-Leader for the fifth consecutive year.
- 2019
Rheem announces centennial sustainability goals[1]
Other
The company announced targets covering manufacturing operations, products, and facilities in preparation for its 2025 centennial.
Sources5 sources
- 1Rheem Manufacturing Companyen.wikipedia.org
- 2Rheem Manufacturing Companyrheem.com
- 3Rheem Appoints Eric Varton CTO, Moves Alan Machuga to AI Transformation Rolecontractormag.com
- 4Rheem's EcoNet Zoning System Wins Second Consecutive 2020 IoT Breakthrough Awardprweb.com
- 5Rheem® Unveils All-New ProTerra™ Hybrid Electric Water Heaterprnewswire.com
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