diff --git a/pyam/units.py b/pyam/units.py
index 7c8c8fc97..b7c0c2fd9 100644
--- a/pyam/units.py
+++ b/pyam/units.py
@@ -9,8 +9,8 @@
 
 # get application pint.UnitRegistry and load energy-units
 _REGISTRY = pint.get_application_registry()
-file = Path(__file__).parents[1] / 'units' / 'definitions.txt'
-_REGISTRY.load_definitions(str(file))
+path = Path(__file__).parents[1] / 'units' / 'iam_units' / 'data'
+_REGISTRY.load_definitions(str(path / 'definitions.txt'))
 
 
 def convert_unit(df, current, to, factor=None, registry=None, context=None,
diff --git a/setup.py b/setup.py
index 47096caaf..724eb0a99 100755
--- a/setup.py
+++ b/setup.py
@@ -81,8 +81,9 @@ def main():
         ],
     }
     package_data = {
-        'pyam': ['region_mappings/*', '../units/definitions.txt',
-                 '../units/modules/**/*.txt'],
+        'pyam': ['region_mappings/*',
+                 '../units/iam_units/data/definitions.txt',
+                 '../units/iam_units/data/**/*.txt'],
     }
     install_requirements = REQUIREMENTS
     extra_requirements = EXTRA_REQUIREMENTS
diff --git a/units b/units
index 1149a0a9b..2dfb70691 160000
--- a/units
+++ b/units
@@ -1 +1 @@
-Subproject commit 1149a0a9b1aeecb528b41e57523c27215f0479ef
+Subproject commit 2dfb70691045494aee1e607f411702144e6e897b