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Diesels Constitute 50% of European Car Market

Motor,  May 2005  by Nash, Tom

If a growing automotive market trend in Europe is any indication of a potential trend in the U.S., then a lot more diesel-powered vehicles could be seen on American roads. Recently collected market data by Robert Bosch Corp. confirmed that more than 50% of new passenger vehicles sold in Europe today are powered by diesel engines. According to the data, the number of newly registered passenger cars using diesel fuel in Western Europe has jumped to a record high of 51.9%, up 5.3% since a year ago.

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"The increase in the number of diesel engines is reflected in all classes of vehicles in Europe," said Al Krenz, Director of Service for Bosch, "The largest growth rates were registered for high-end cars, where the diesel share increased by 9%. Comparatively, in the U.S., despite the fact that a growing number of SUVs and light-duty vehicles are being fitted with diesel engines, the numbers are still moderate."

The Bosch data reveals that the highest percentage of shares in the European new-car market for diesels is being seen in Austria, Belgium and France, with more than 70%. The speed with which diesels are becoming popular is especially evident in the percentage point increases in individual countries between October 2003 and October 2004, the period for which the data was collected. The diesels' share in Germany jumped 6.4%-from 41.5% to 47.9%. In both the U.K. and Italy it increased by 7.5% (from 29.6% to 37.1% and from 52.9% to 60.4%, respectively).

"With gas prices soaring and emissions regulations getting tighter, the diesels argument of one-third less fuel consumption than gasoline engines and lower carbon dioxide emissions makes a very strong case in their favor," Krenz said. "It appears only a matter of time until this new breed of quiet, clean, smooth-running diesels capture the attention of the American public."

It should be pointed out that Volkswagen has been successfully selling modern turbo direct injection diesel engines for the past several years under the "TDI" label. The 2006 Jeep Liberty is now available with a common-rail direct injection (GDI) diesel engine. Even upscale Mercedes-Benz has returned to the U.S. diesel market, offering the E320 GDI. With these vehicles added to the existing lines of diesel-powered pickup trucks and vans, plus the record-high cost of gasoline, you may see crowding at the diesel pumps in the near future.

Copyright Hearst Business Publishing May 2005
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