Not to be outdone by BMW and its 45-mile-per-gallon 2014 328d or the new Chevrolet Cruze Diesel, Volkswagen is reportedly preparing to launch a more-efficient TDI diesel engine in North America. In speaking with VW recently, Edmunds learned that the automaker plans to replace its current 2.0-liter TDI engine used in many VW and Audi products (including the Golf, Passat, Jetta, Beetle and Audi A3) beginning in the second half of next year.

No word on the displacement of this new EA288 engine, but the article states that horsepower could rise from 140 up to 150 and quotes a VW spokesperson who says the next-gen TDI mill should realize about an eight-percent improvement in highway fuel economy compared to the current engine. Doing the math, that suggests future VW and Audi TDI models could get up to 45 or 46 mpg on the highway.