It looks a little like a sleek window AC, but a new device from Chinese appliance giant Midea is actually a reversible heat pump that can both cool and heat a home—and it’s designed to heat efficiently even when the temperature outside drops as low as 22 degrees below zero.

The heat pump, called the Midea PWHP, just launched commercially after years of development. Over the last few weeks, I’ve been testing it in freezing temperatures in upstate New York. It works better than my gas furnace, and uses less energy. And the form factor and cost could help heat pumps—which already outsell gas furnaces—spread even faster.

A new type of heat pump

Like other heat pumps, the PWHP transfers warmth from the outdoor air to heat your space, using relatively little energy. But the new heat pump is d

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