Alliance Engine Aims for Market Share

VW 3L Lupo TDI drove around the world
Seven years ago the VW 3L Lupo TDI drove around the world, 33,333 km through Africa, Asia, Australia, North and Central America and Europe, using 792.57 litres in an unmodified production car, on real roads in real traffic and driving at realistic speeds. That is 98.9mpg US!”

It would seem that Japanese car makers have their sights set on the European small car market, specifically diesel compacts and superminis. The European competition among diesel subcompacts include the Citroen C1, Fiat Panda, and VW Lupo / Fox. Mercedes has been testing a diesel Smart since 2005.

Green Car Congress reports that Fuji Heavy will introduce a diesel-powered Impreza in Europe in 2008. To compete in the European market, the new Subaru a year will feature the new boxer turbodiesel engine from Fuji Heavy.

This announcement follows a recent announcement from Honda that it was dropping the hybrid Accord, but would introduce a diesel version. Honda has made a significant commitment to producing a diesel engine. This is a major shift in marketing as diesels have failed to make much of an inroad in the U.S. or Japan markets.

Suzuki Swift
The Suzuki Swift is a fuel-efficient compact diesel on the Global Market and truly a ‘global car’ manufactured in Hungary, Japan, China and India”.

As the Japanese produce more vehicles for a global market they face the demand for more economical vehicles. Suzuki makes a compact diesel and in January Mitsubishi signed an agreement under which PSA Peugeot Citroën will supply MMC with common rail diesel engines.

Yet the biggest move in diesel passenger cars on the global market is the recent announcement by Nissan-Renault. They plan to offer for use in the United States a Nissan Maxima with Tier 2 Bin 5 diesel engine. “The passenger car will be powered by an all-new Alliance engine co-developed with its partner Renault.” And, by global market, Nissan plans to launch vehicles with clean diesel engines in Japan, the United States and China by 2010. Much of this strategy may be how much new car buyers in China and India may decide to choose a passenger vehicle with a diesel engine.

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4 Comments

  1. jcwinnie
    Posted 2007-6-25 at 6:59 pm | Permalink

    Xavier Navarro writing for Autoblog Green notes:

    The compact segment is the most competitive in the European market. Cars measuring around 4 meters are the top-sellers on this side of the pond. They usually offer good room for the price, and they also offer cargo space once the back seats are folded. This segment is dominated by local models, such as the VW Golf (the leader to beat) and the Ford Focus, to name two models which are familiar to our US readers. The engines of choice are usually diesels and although low-sulfur diesel has been sold in Europe for a long time, they still pollute with particulates which cause smog. Particulate filters just aren’t widespread yet and are currently installed only in premium models, very much like the implementation of catalysts in gasoline cars, which started in the ’90s.

    Navarro notes that Japanese and Korean manufacturers offer products in this market segment. He cites the new Toyota Auris hatchback as an example. Toyota offers three models in Europe: the Corolla sedan, the Auris hatchback and the Verso MPV.

    One of Toyota’s latest innovations has been the D-CAT (Diesel Clean Advanced Technology) range of diesel engines which appeared in 2005 in the Euro-Accord models. Toyota’s particulate filter captures combustion debris in a reservoir and when it’s full, the particulates burn completely – This means that at a certain moment, a Toyota leaves a grey cloud of smoke but leaves no particulates. Of course, the system is more complex and it includes special piezoelectric injectors, gas recirculation when the engine is cold and other features which makes these engines less polluting.

    A range of D-CAT are currently available installed in these three compact models and the RAV-4.

  2. jcwinnie
    Posted 2007-7-16 at 6:35 am | Permalink

    Citroen C1 / Peugeot 107 / Toyota Aygo are
    basically all the same vehicle just with minor changes in styling.

  3. jcwinnie
    Posted 2007-8-6 at 3:55 pm | Permalink

    Sam Abuelsamid notes:

    It looks like Honda won’t be the only Japanese manufacturer producing new clean diesel engines that don’t require urea injection to meet Tier II Bin 5 emission standards here in the US. Honda announced the new catalyst technology that they’ve developed last fall and now Nissan has devised a system of their own.

    Nissan has created new catalyst that includes multiple layers. The first layer traps hydrocarbons which react with the catalyst material to produce hydrogen and carbon monoxide. The next stage of the unit causes the H2 and CO to react with the NOx to convert it to nitrogen, carbon dioxide and water. Nissan already announced plans to introduce a diesel version of the Maxima to the US market in 2010 and this could be the technology that makes it fifty state legal.

  4. jcwinnie
    Posted 2007-9-1 at 12:15 pm | Permalink

    A Toyota – Isuzu press release recently announced joint development of small diesel engines to be installed in vehicles sold by Toyota. Production is expected to start around 2012.

    Isuzu is a major developer of diesel engines and will play the leading role in the development and production of the new engine, which will be will be 1.6-liter engines with an aluminum cylinder block. Diesel engines are about 20% to 30% more fuel efficient than gasoline engines.

    By taking advantage of Isuzu’s diesel technology, Toyota could boost sales in Europe, where about half the vehicles sold are diesel powered and it is locked in a sales battle with General Motors Corp.

    The joint operation will also help Isuzu boost its supplies of diesel engines, which it currently provides to GM.

    Spokesmen for both companies said they are still discussing details of how they will produce the new engines, such as whether they should manufacture the engines through a joint venture or put one auto maker in charge of output.

    Toyota and Isuzu have been discussing their collaboration in R&D and production since they formed a partnership in November when Toyota took a 5.9% stake in Isuzu.

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