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Japanese Automakers to Make More Diesels for Europe

12/13/96

Nikkei English News has reported that Japanese automakers are likely to increase the number of diesel-engine cars they are making in the United Kingdom. Industry sources say the proportion of diesel-powered cars will increase to 20-30% of total car production, because of growing demand for the diesels in Europe. Both Toyota and Honda have plans to introduce diesel-powered subcompacts, while Nissan plans to start assembling diesel engines in the U.K. early next year.

Although diesel cars only account for a few percent of all cars sold in Japan, they make up about 30% of all the total passenger cars sold in Europe. Diesel engines offer greater fuel efficiency, and technological improvements have reduced the carbon dioxide emissions from diesel fuel.

Nissan will make 2000cc diesel engines at its British plant, which has an annual engine capacity of over 30,000 units. Nissan will put the diesel engines it makes at the facility into about 25% of the remodeled Primera cars that it puts out on the European markets in September 1996. Currently only 10% of the Primera models come with diesel engines.

Starting in 1998, Toyota will put diesel engines into about 30% of the Corolla subcompacts that it makes in the U.K. At the same time, the company will boost its U.K. Corolla production to 100,000 or more Corollas a year.

Honda buys diesel engines for its British Accord cars from Rover Group Holdings Plc. Starting next year it will equip Civic cars for European sale with 2000cc Rover diesel engines.

Paul Dever -- The Auto Channel