The technological advances made in diesel engines have fuelled a steady increase in their sales across Europe. With the diesel models of some manufacturers already outselling petrol models, the only way to maintain current diesel growth rates will be if other companies commit to more specialist diesel development.

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For the first time, vehicle manufacturers in Europe have sold a greater number of diesel-powered cars than their petrol equivalents. Both VW Audi and Mercedes-Benz recorded this outcome for 2002, whilst French car maker PSA Peugeot Citroen achieved 50% diesel sales. Diesel penetration has now reached 41% of new car sales, according to engineering firm Ricardo.


The sales mix for all three manufacturers will not surprise the industry. PSA has been one of the market-leaders in diesel for several years, and has invested heavily in its HDi engines. Its commitment to diesel includes a partnership with Ford to develop smaller power plants for the supermini segment.


The four-cylinder petrol engines fitted to certain Mercedes-Benz models, part of DaimlerChrysler, are thought to lag behind rival offerings in refinement, performance and emissions. Meanwhile, the diesel power plants have been developed with common-rail and direct-injection technologies that are now proving popular, even on executive models such as the S-Class.


Volkswagen Audi Group (VAG) has also been an important driver of diesel development. Significantly, it has also used its research in the diesel field to improve its petrol power plant. The resultant FSI (fuel-stratified injection) is a useful advance in the petrol market, and similar developments are likely to arise from other manufacturers as sales of FSI models increase.

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In the UK, diesel penetration has lagged behind mainland Europe and the diesel boom is already showing signs of slowing. Diesel sales in the UK fleet sector are up just 4.1% compared to last year and diesel sales currently account for 26% of the total market compared to 50% in France.


It is expected that there will soon be a slowing in the growth of the diesel sector. This could perhaps be stemmed if other major vehicle manufacturers took up the serious development of diesel vehicles.


SOURCE: DATAMONITOR COMMENTWIRE (c) 2003 Datamonitor. All rights reserved. Republication or redistribution, including by framing or similar means, is expressly prohibited without prior written consent. Datamonitor shall not be liable for errors or delays in the content, or for any actions taken in reliance thereon.