Ford Motor Company and PSA Peugeot Citroën on Wedneday announced the fourth phase of what they described as a "groundbreaking diesel engine co-operation" - the launch of two new lines of light engines for commercial vehicles and executive cars.

The companies already share a number of engines such as the 2.7-litre V6 turbodiesel found in models like the Jaguar XJ and S-type, Land Rover Discovery 3 and Peugeot 607 or the 1.6-litre I4 turbodiesel shared around numerous Citroen and Peugeot models and Ford's European Fiesta and Focus lines. Mazda and Volvo use them as well.

Now commercial models will share jointly developed engines.

The programme was launched in 1998 and over four million diesel engines have been produced, with Ford and PSA claiming to be jointly the world's leading diesel engine makers.

Phase four of the co-operation is a joint investment of €332 million to develop two new engines.

Ford will produce a dedicated 2.2-litre commercial diesel engine - for the Transit van line and PSA's new LCVs -  at its advanced Dagenham engine plant in Essex, England. Up to 200,000 units will be produced each year.

PSA will build a 2.2-litre, high output motor for both companies' medium/large and executive models at Trémery, Moselle, France, the world's largest diesel engine factory. Up to 200,000 units will be made annually.

Both common rail diesel engines feature a number of claimed technical innovations. The 2.2 for light and medium commercial vehicles has so-called smart technology which allows its 'brain' to constantly adjust itself for maximum efficiency during the life of the engine.

The 2.2 for passenger cars has a new extreme conventional combustion system (ECCS) claimed to reduce emissions at source while improving performance and reducing running noise.

Golding's take