4 June 2001: A new diesel engine for Europe is to be developed by Mazda to power its MPV (right), 323, 626 and Premacy vehicles.

The motor will be produced at an annual rate of 100,000 units at its Hiroshima plant in Japan. According to the Asahi Shimbun newspaper, the new engines will be ready for use next year as the 323 and 626 models are due for a full remodelling.

Demand for diesel engines has been rising in Europe for emissions reasons, and both Toyota and Honda have recently announced development of their own diesel engines for that market. The availability of a diesel engine for the MPV will make it a more attractive proposition than currently.

Mazda is 33.3% owned by Ford, who have recently launched a brand new diesel for the Focus and later the Mondeo.