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Hyundai's New Engine Hints At i10 Diesel
Hyundai Motors India had earlier shelved plans to build a diesel engine production facility as it decided to see if the government would impose any additional taxes and duties on diesel cars in the budget for 2012-13. With no such new taxes being announced, Hyundai is expected to announce the revival of its diesel engine facility.
Hyundai does not build its diesel engine in India. The engines used in the i20 and the Verna are being imported from Korea. The new engine facility will be used to build 1.1 litre, 1.4 litre and 1.6 litre diesel engines. While the second and third engines are already being used in existing Hyundai models, the first diesel engine is not available in any existing car.
The 1.1-litre diesel engine could well be used in the i10. The i10 Hyundai's best selling car just ahead of the Eon. A diesel engine will most definitely keep the i10 in its top spot. Small cars with diesel engines were not considered to be attractive until the launch of the Chevrolet Beat. The success of the Beat has given confidence to carmaker such as Hyundai to experiment with their small cars.
Demand for diesel cars has been very high. The higher price and long waiting period has not deterred people from booking them. The higher mileage and lower running costs have made diesel cars more attractive.
Hyundai is yet to announce its plans for the diesel plant. Reports say the facility could be located near its Chennai plant in a new location outside Tamil Nadu.
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