GM Korea to develop new diesel engines for small cars

As oil prices continue to increase and consumers begin to veer toward fuel-efficient cars, one of South Korea’s leading carmakers, GM Korea, has begun plans to manufacture new diesel engines for its small and compact cars. The company is developing new diesel engines designed for smaller cars such as the Cruze, in a bid to decrease the gap with Hyundai’s bestselling Avante. The company is largely responsible for most of the small and compact car-related research and development of its parent company, General Motors (GM). The two companies will jointly launch a project to develop 1.4-liter (L) and 1.7 diesel engines; the project is to be undertaken by GM Korea’s Bupyeong Technical Center. Commercial production of the new diesel engines at the Bupyeong plant is expected to begin by the end of 2013. GM Korea currently offers 1.6 L and 1.8 L gasoline engine models for its Chevrolet Cruze, and the 2.0 L diesel engin; the new designs will reduce emissions, increase fuel efficiency and raise power output. GM Korea imports most of its engines for diesel cars that are exported to Europe although producing the engines locally at the company’s Bupyeong plant will significantly cut production costs. (June 26, 2012)