French manufacturer Renault had been recently attacked in France for excessive delocalization, so it doesn't exactly come as a surprise that the marque is going to build its all-new diesels close to home. Specifically, in Cléon, in the Northwest of France. The new engine, a 1.6-liter, is set to replace the current 1.9 dCi that produces 130 HP, starting in 2011, for both Renault and Nissan cars. Renault claims the new dCi engine produces 30 g/km less CO2 emissions and gets 20 percent better fuel economy while keeping the same torque, following the downsizing trend found all-around Europe. Volkswagen announced a switch from the 1.9-liter TDi to all-new 1.6-liters. PSA already has diesel engines this size, not only at Peugeot and Citroën, but also under MINI and Ford hoods.

[Source: Renault]

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