Initial reports of a diesel version of the Chevy Cruze coming to the US market cited GM management sources who apparently told workers at the Cruze’s Lordstown, OH assembly plant they would begin building the diesel-powered Cruze for the 2013 model-year. But GM spokesfolks tell the Youngstown Vindicator.

GM has some of the most capable engineers in the world and very capable engineering in Europe. If and when the time comes, there is no doubt GM will be able to produce a diesel engine in America,

The implication being that a diesel Cruze is not imminent… but that doesn’t mean it will never happen. Local UAW boss Dave Green clarifies

I did see the report. I read where we may be getting some diesel-powered Cruzes, but we have not gotten word of that from our corporate offices

So… call the diesel Cruze a big maybe. At some point. Perhaps Chevy is waiting for t he Cruze five-door to come online before making an all-out bid for America’s “Mr Euro” market with a diesel hatchback.

Automotive News [sub] reports that Global Vehicles, a firm with a contract to distribute Mahindra pickup trucks in the US, has dropped its lawsuit in US court in an apparent attempt to rescue its distribution deal. The contract between Mahindra and GV called for British arbitration of disputes, and apparently the British arbitration panel required that all claims be handled through it rather than in US courts. The dropped suit would have required Mahindra to press forward with its US launch regardless of pending arbitration. Mahindra, meanwhile, has said it is looking outside of its deal with GV for a US distributor, so it’s not clear if GV’s olive branch will even make a difference.

View more presentations from US Department of Energy.

The EPA’s National Clean Diesel Campaign and the Department of Energy’s Hydrogen Energy Program have both been defunded in President Obama’s proposed 2012 budget, as the White House focuses on the much– debated goal of putting one million electric cars on the road by 2015. Bloomberg reports The NCDC budget was cut from $80m in 2010 to zero, even though Obama only just reauthorized $100m per year of grants through the program ten days ago. According to Senator Tom Carper, one of the sponsors of that re-authorization, the program

leverages federal dollars so efficiently that for every $1 invested, we get over $13 in health and economic benefits in return

Oh well. Meanwhile, fans of the oil-burners imported by the German brands can relax: the NCDC focused on improving diesel emissions from freight, ports and fleets rather than subsidizing Euro-phile sports sedans. Besides, diesel isn’t the only loser in the rush to push plug-in cars to market: hydrogen is also losing out.

Steve writes:

Hi TTAC, long time follower here with a 2006 VW GOLF Diesel 1.9L.

The car was one of the last batch Mk.4 Golf’s with a diesel engine purchased in Canada where I live. Since then, it has had small and large repairs galore including temperature sensor replacements, an entire transmission (Automatic Tiptronic, 09A, a big regret) replacement at 21000kms, rear hatch wiring adjustments (I noticed the hatch will not lock), front door hinge adjustment because the front 2 doors were rubbing against the top tips of the rear two doors and chipping away paint with eventual rust setting in. Later on, suspension bushings up front were replaced, the left front headlights went out a few times and then came back by itself, the dealer could not find any fault.

Mahindra’s abortive plans to bring its rugged diesel-powered pickups to the US began back in 2007, just as gas prices were starting to run out of control. Now, after years of delays, steadily-increasing prices and general neglect of the compact pickup market have served only to whet our appetite for efficient little developing world-style trucks. Throughout the the last several years, Mahindra has battled with its US distributor, pulled out of other US efforts and generally failed to deliver… all while dangling the dream of a 30 MPG diesel pickup at hopeful enthusiasts. But, as it turns out, Mahindra’s problems don’t end with distribution: though its diesel engine was approved by the EPA, we hadn’t seen EPA confirmation for the long-held 30 MPG goal. Well, the EPA just released the window sticker for the Mahindra TR40 [via MahindraPlanet], a 4X4 four-door version of its 2.2 liter diesel pickup… and it gets nowhere close to 30 MPG.

The new 2012 Mercedes-Benz SLK could give you reason to keep its trick roof up at all times, especially if you wrinkle your nose at diesel smell. Yes, the Daimler’s new roadster will be available with an oil burning option.

Porschephiles: How do you like the marvelous scent of diesel? You know, the stuff they sell at the big truck stops to those people with the big Mack trucks? Automotive News gives Porsche lovers heart palpitations with the news that Porsche is considering selling diesel versions in the United States.

India’s Environmental Minister Jairam Ramesh’s jab at diesel-powered trucks and SUVs is turning into a major diplomatic row. Turns out that he didn’t just call drivers of diesel-powered trucks and SUVs criminals. He also said that said the mere act of driving big-engined luxury models from BMW and Mercedes-Benz in India was “criminal”. Jaguars weren’t mentioned.

While Americans wonder if Mahindra will ever bring its diesel-powered trucks and utes to the US market, its main offerings are coming under attack at home. India’s Environmental Minister Jairam Ramesh put diesel-powered SUVs on blast this week, calling the oil-burning utes “criminal” and telling a UN conference that

We are worried about the rate of green house emissions from transport sector. There is need for mandatory fuel efficiency standards. Big vehicles like SUVs should stay off roads

Minister Ramesh’s plan is two-fold: first, he is calling for an end to India’s subsidy of diesel fuel, arguing that diesel contributes disproportionately to India’s greenhouse gas emissions. The second portion of his plan is more controversial, but should sound familiar to American readers: get rid of those nasty SUVs. Ramesh explains

Put a penalty on the type of cars you don’t want to see on the roads, which are diesel-driven cars, SUVs… We cannot ask people to buy or not buy a particular car. But through an effective fiscal policy, we can certainly have an impact

India’s auto industry insists it’s ready for diesel prices to be cut free, but they’re fighting back against Ramesh’s suggestion of a jihad on SUVs.

Yes, things have changed in the world of trucks. Selling Chevrolet pickups was once a simple task, requiring little more sophistication than the average locker room put-down. In this now-bygone time, spokesmen for Chevy trucks were football players, and advertisements either showed a Silverado busting some dirt, or a Ford owner flitting about like Ryan Seacrest at a Justin Bieber concert. Overt, in-your-face masculinity was the currency of this era in truck advertising… until Dodge went and ruined it all by raising macho truck-ad values to the level of the absurd with its laughable “My Tank Is Full” spots (to be fair though, the paradigm was collapsing under its own weight anyway).

All of a sudden, an earnest repetition of hard-working, masculine values alone just wouldn’t cut it in the world of truck advertising anymore. What truck ads needed was a little bit of irony. Some humor to go with all the horsepower numbers, the celebrations of rugged durability, and yes, even the childish put-downs of the competition. So Chevy watched a lot of “Old Spice Guy” ads, hired some comedians and made it happen… with hilarious results.

The road to the US market has been a rough one for Mahindra, with lawsuits, delays of EPA certification and more holding up a launch that should have taken place over a year ago. And after the Indian automaker rejected an order this summer from its US distributor, Global Vehicles, we basically gave up hope on seeing the diesel-powered, 4X4 pickups and SUVs in the land of the free. Luckily, Mahindras are used to rough roads, and if an email that just landed in my inbox is anything to go on (please note the Wild Ass Rumor heading on this post), the venture may just be pulling through. Or perhaps it’s just pulling our leg. Hit the jump for a letter from Global Vehicles president John Perez…

There’s no replacement for displacement? Sure, as long as you own an oil well. If you want to save gas, there are three ways to do it:

1. Make the car as light as can be (you can’t fool Newton.)
2. Use the smallest amount of displacement you get get away with, and make it up with direct injection, a turbocharger, and computer smarts.
3. Combine 1 with 2.

And what’s the easiest way to reduce displacement? Lose cylinders. That way, you also lose a lot of internal friction. If “Laufkultur” is part of your vocabulary, don’t read further, you’ll get sick. If you want to sick it to Big Oil, by all means, read on.

I believe that, legally, I’m still their U.S. distributor. And I want trucks delivered to our dealersImporting niche vehicles from an unknown foreign automaker has long been a fraught process for US-based entrepreneurs, and John Perez’s attempt to bring diesel-powered Mahindra pickups to the US has been no exception. For four years, Perez’s Global Vehicles distribution network waited while Mahindra sought EPA certification for its diesel pickup engine, and then six days after approval arrived, the Indian firm dumped Perez with little ceremony. Now Mahindra says it will consider giving franchisees to the dealers who paid Perez up to $200k for the right to sell Mahindras, but that it is not obliged to do so. Perez is suing Mahindra for failing to fill an order for pickups, while dealers are considering suing Perez and Mahindra is seeking to end its agreement with Perez so it can distribute pickups through independent dealers. Mahindra’s Roma Balwani tells Automotive News [sub]The current dealers’ contract is with GV [Perez’s distribution channel, Global Vehicles] and hence they do not automatically become Mahindra dealers. However, we would be considering these dealers for our network if they are interested. We will need a new distribution network and soon we will start a dialogue with potential dealers, including the ones who are signed up with GV, if they are interested in signing up with Mahindra.

A friend of mine once tried to break the world record for the longest time standing on one foot. The record (at the time) was held by Arulanantham Suresh Joachim of Sri Lanka for standing on one foot for 76 hours and 40 minutes. My friend lasted 2 minutes, then collapsed in heap and wondered if he’d maybe broken a bone in his leg. Silly boy. If he wanted to get into the Guinness Book of World Records, all he had to do was buy a Volkswagen Passat.

Toyota has essentially confirmed that a hybrid Yaris will be built at its Valenciennes, France plant beginning in 2012, coinciding with the next generation. Autocar, which also has a gallery of 2012 Yaris spy shots here, points out that Toyota did not name the new hybrid as a Yaris specifically, but that is the where the Yaris is made, and it fits in with with Toyota’s strategy to expand its hybrid line. In this case, it expands it downwards, in a market segment particularly important in Europe and Japan (pretty much everywhere except the US, actually). It also marks the second Toyota car for Europe to be hybridized without a unique exterior, like the Prius and LH 250 here. Toyota already sells an Auris hybrid in Europe, its Golf-fighter, along with the Prius. The big question: will the littlest hybrid find its way stateside?

Once upon a time, the Maximum one declared that bringing diesels to the United States would only be possible by the use of urea. You know, the stuff that is is the main nitrogen-containing substance in the urine of mammals. Which can also reduce the NOx from diesel exhaust. Using urea would allow diesels to meet Tier II Bin 5 standards. The Maximum one further decreed that the extra cost of this after treatment system would make diesels prohibitively expensive. (Unless the driver uses man-made urea, but let’s not even go there.) Then, he mentioned the California standards which were way tougher than Tier II Bin 5. This would effectively kill diesels in the US as they wouldn’t be 50 state compliant. Then Volkswagen introduced the TDI Jetta which was 50 state compliant. What made this extra special was that Volkswagen did it without using any urea after treatment. Something which Bob Lutz said wasn’t possible. There was a diesel hurdle that was gone. Who else could be bringing diesels to the United States?

After numerous delays and a lawsuit by Mahindra’s US distributor, the Indian firm’s diesel-powered compact pickups have been approved by the EPA, reports the WSJ [sub].

Yesterday we suggested that this line drawing of a smaller-than-full-size Chevrolet pickup meant that Chevy would be “recommitting” to the US market for compact pickup trucks. Today, however, Bloomberg reports that Chevy is planning a mid-sized truck for production in Thailand, and that GM is focusing its smaller pickup efforts on the developing markets in South East Asia and Brazil (importation to Europe is also planned). GM’s Martin Apfel explains

The logical consequence is to build where the customer wants it, as that keeps your costs down. [Thailand and Brazil are] the two centers of gravity for midsize trucks

Since EPA certification has not been obtained, we were worried the delays would continue. We want to begin sales in December as Mahindra stated to the press on May 17th. Our sole intent was to get Mahindra focused on not missing another deadline. We simply wanted to protect you, our dealers, and your investment in the Mahindra brand.

That’s what John Perez, President of Mahindra’s US-market distributor Global Vehicles wants to know. Perez is suing the Indian manufacturer of the compact diesel pickups and SUVs to make sure his dealers dealers don’t miss a fourth blown sales deadline. Mahindra, according to Global’s suit, has not yet filed official EPA paperwork for any of its vehicles. December launch, huh?

Europe’s Euro 5 emissions standard has already killed off Mazda’s RX-8; is it any wonder that the Impreza STI is running scared? Autocar reports that the next-gen STI, due sometime in 2012 will not offer another version of the 2.0 turbocharged gas engines that have powered the car since it got a reputation for bargain thrills. Instead, a two-liter turbodiesel is likely to be the main engine on offer, as Subaru strives to keep the STI grunty without blowing its emissions limits.

The National Academy of Science’s National Research Council has released a comprehensive report on fuel-saving technologies and their associated costs [full report available online here, summary in PDF format here], and it’s data-licious. Just about every currently-available (within the next five years) efficiency-improving technology was assessed, not just for efficiency gains, but for cost as well… but let’s wait on the cost part for just one moment. Above, you can see the study’s findings in regard to efficiency gain available through various near-term technologies, as applied to vehicles with 4, 6 and 8-cylinder engines. It should come as no surprise to find that conversion to Hybrids, diesels and dual-clutch or continuously-variable transmissions offer some of the greatest benefits… but what about those costs?

When something that sounded too good to be true (say a cheap, compact, diesel-powered pickup) keeps getting delayed, you eventually just make your peace with the whole “too good to be true” part. That’s the only explanation for our recent lapse in Mahindra coverage: the news is depressing enough as it is. We last updated our Mahindra tag back in December, with news that a “Middle Spring” launch would be the latest of several delays for the Indian pickup venture. A news clipping [ PDF] touting a March launch is still available at the Mahindra USA website. The latest from an actual human being? Mahindra’s US distributor John Perez tells Automotive News [sub]:

I don’t want to speculate anymore

Ruh Roh!

Chrysler won’t officially confirm it, but the Detroit Free Press cites Chrysler dealers who say that the tarnished-to-death Sebring nameplate will be replaced with the name “Nassau,” when Chrysler brings out a Fiat-facelifted version of the midsized sedan later this year. The Nassau name first entered Mopar history with the 1955 Windsor Nassau, a a two-door coupe advertised as having “the 100 million dollar look.” After a mere two model years as the Windsor Coupe nameplate, the Nassau name lay dormant for decades before returning as a 2000 styling buck for the Chrysler 300, and again as a midsized sedan/wagon concept in 2007.

In a study for the Danish Petroleum Industry Association, consulting firm Ea Energy Analyses concludes that electric vehicles (EVs) will not significantly improve the EU’s carbon footprint over the next 15 years. According to Globe-net.com‘s write-up of the report:

The study demonstrates that while electric cars have the lowest ‘tail-pipe’ emissions, they cannot attain the same travel ranges or top speeds as conventional cars. An electric car that could cover a similar distance with one charge would in fact produce more CO2 emissions than diesel vehicles, as it is heavier and requires more energy

The EU is currently considering tax policy for electric vehicles, and this report is sure to throw some flammable fossil fuel on the debate. Though the report is somewhat suspect in the sense that it was commissioned by an influence group that seeks to perpetuate fossil fuel use, there’s no denying that Europe’s reliance on coal and gas-power for electricity generation negatively impacts the carbon footprint of EVs.

The U.S. has its hypermiling. Europe has its hyperkilometreing. In a European orderly fashion, of course. Germany has its Sprit-Spar-Meisterschaft, formerly sponsored and dominated by Volkswagen, now sponsored and dominated by Toyota. France has the Peugeot Eco Cup.

This is a competition in which different Peugeot (surprise, surprise) models are driven by everyday drivers to see if they can meet or beat official fuel consumption figures. The cars were driven 1000km on French and Swiss roads in wintery conditions (that must have been a picturesque drive). The results of the 2010 Peugeot Eco Cup are in (via The Auto Channel).

Nissan’s alleged premium brand Infiniti is going to the dark side…well, the less refined side. The Auto Channel reports that Infiniti are going to put a newly developed diesel power train (produced in grand alliance with Renault) into their vehicles for the European market. They are aiming to put this oil burner into the EX and FX CUV’s, and later into the M saloon. (Which is not a new watering hole. It’s what the Americans would call a sedan. Which is a town in France. Or in Australia. Or in Indiana, Kansas, Minnesota and West Virginia. You figure it out. ED)

Infiniti has been in Europe for less than a year. Jim Wright, Vice President of Infiniti Europe, compensates lack of experience with lack of shame, and with a PR-writer prone to flowery prose (always a dead give-away for wannabe-luxury:) “The sales success enjoyed by Infiniti in Europe against a backdrop of financial uncertainty proves the cars’ appeal to a discerning audience. We have established Infiniti as the luxury performance brand thanks in part to the remarkable multi-award winning VQ petrol engine that powers most of the models in the range.” (And he didn’t refer to a kitchen stove. ED)

Diesel drivetrains have long been a crucial component to the European market’s forbidden-fruit appeal for American enthusiasts, ranking right up with station wagons and manual transmissions on the list of under-offered features in the American market. But there are signs now that Europe’s longtime infatuation with oil-burners might be drawing to a close (and not just for biodiesel). The Telegraph reports that Europe-wide diesel market share has fallen from 52 percent to 46 percent in the last 12 months, with the UK’s share dropping from about 43 percent to about 41 percent. Much of this trend is being driven by growth in the low-cost car segment, where the higher cost of diesels make them less competitive. Fears of higher repair costs for more complicated clean-diesel drivetrains and a relative undersupply of diesel fuel aren’t helping either. And just as diesel is faltering in its most important consumer market, the EU is eying a tax increase that Reuters UK says “could boost demand for gasoline at the expense of diesel.”

Europe, and especially Germany, reports declining diesel dependency. From a nearly 50 percent share a few years ago, the share of diesel driven cars in Germany dropped to 31 percent in 2009. Two reasons: The favorable taxation of the oil had been scrapped. And speaking of scrapped, the “Abwrackprämie, or cash for clunkers, had favored a trend towards low displacement gasoline burners. (In January, the diesel share climbed back to 40 percent in Deutschland.) Badly mauled were the manufacturers of bio (a.k.a. “veggie”) diesel.

Opel already has big plans for its restructuring, despite the minor issue of being short a few billion dollars. According to an interview with Opel boss Nick Reilly in the print edition of Auto Motor und Sport, only a billion Euros of the €3.3b Opel turnaround plan is going to be spent on restructuring. The rest will be spent on new products like a city car, a “mini offroader,” and new high-tech drivetrains. According to Autocar, one of those high-tech drivetrain options is a a pairing that several firms including VW and Peugeot-Citroen already looked into but have yet to bring to market out of concern for the high cost: the diesel-electric hybrid. GM Europe’s Advanced Powertrain Chief Engineer Maurizio Cisternino explains “if you want the best fuel consumption, you have to go with the diesel-electric hybrid.” But there’s a tiny problem: Cisternino wants to get diesel-hybrid prices down to a €1,000 premium over gas-electric hybrids, a goal Cisternino admits “does not work at the moment.” Now if only GM had some government investment in the technology…

In the good old “SUV” days, GM forged ties with many companies. But since the bubble burst and GM went to the bankruptcy court, those ties are being severed. Fiat, gone. NUMMI, gone. Suzuki, gone. Now, another partner wants out. Bloomberg reports that Isuzu are looking to have talks with General Motors to review and possibly pull out of a joint venture. The joint venture in question is the DMAX diesel engine plant in Ohio, which may operate at 30% capacity next year. “Our venture in North America serves large-size vehicles, and there is definitely a question mark on that market,” Susumu Hosoi, President of Isuzu said. “I want to ask GM what their thinking is.”

Want to do your bit for the environment, like ride a bike or take the bus? You loser! Buy an Audi instead! [headline explained here]

“You’re going to see it of course in the 3 Series,” BMW’s Tom Baloga tells Inside Line, “and the 5 Series is a good possibility. If the performance [of such an engine] is sufficient in the X3, U.S. customers would likely accept it in the X5 as well.” The “it” he’s referring to is BMW’s two liter turbodiesel engine, which BMW hopes will soon make up 10 to 20 percent of its engine mix in the US. And the Bavarians aren’t bringing the diesel four over for mere miserly mileage alone. “We would be focusing to make sure we get the performance that people expect without squeezing every last mile per gallon out of it,” Baloga says. “I don’t think we would ever consciously look at [the VW Jetta TDI’s] numbers and say ‘we have to beat that.'”

One of Chrysler’s major problems in the powertrain department is a mass of V6 engines of varying ages and displacements. The lack of interchangeability between engines contributes to Chrysler’s unprofitability, and the advanced age of some hurts overall fuel efficiency considerably. The debut of a brand-new Pentastar V6, arriving with next year’s Grand Cherokee, will change all that. The 280 hp, 260 lb-ft engine will replace all of Chrysler’s V6s, and handily gives Fiat their only modern V6. Single and twin-turbo versions are being considered. Meanwhile V8s aren’t going away, with 5.7 and 6.4 liter versions planned.

The long Ford-Navistar diesel engine drama has played out its final days and the replacement engine is finally officially in existence. Given the troubles—contractual and otherwise—with the outgoing Navistar-sourced engine, Ford is quite eager for everyone to know the new 6.7-liter Power Stroke engine is “Ford-engineered, Ford-tested and Ford-manufactured”. Buried amongst the PR gems in the release is this nugget: “On turbocharger service, for example, the body/cab no longer has to be removed from the frame to access the turbo.” Wow, that means you have to remove the truck body to repair the turbocharger on the current engine. Ouch.

Mick Jagger once sang that “you can’t always get what you want,” and, to a degree, he was right. As a petrol head and committed environmentalist, I’ve found I’ve had to make compromises. After going crazy in my friend’s Porsche Boxster, I develop a painful pang of guilt of all the resources I wasted in the name of fun. No, really. Likewise, after driving greenly in my Toyota Yaris on a long drive (achieving 50 mpg for anyone who’s interested), I feel like I’ve watched a Russell Brand stand up show (i.e., I feel like my soul is damaged due to the absence of fun). But now it seems like Mr. Jagger’s words are out of date. Apparently, you CAN get what you want . . . .

Ahem . . . Automotive News [sub] reports that VW is seeking a new ad agency, after four years with Crispin Porter & Bogusky. “Our goal of rapidly increasing our volume in a mature market requires the Volkswagen brand to evolve into a more relevant mainstream choice,” explains VW VP Marketing Tim Ellis.

The Volkswagen brand needs to inspire our base of enthusiasts as well as reach out and captivate those in mainstream America. Therefore, we are re-evaluating all areas of our business and after careful considerations have decided to take the necessary steps to ensure we have the right agency partner in place.

After all, VW is kind enough to dumb down its product line ( cough) for America’s benighted mainstream. The problem must be the ads!

Evening time. Time for conversations, drinks, jokes and . . . spreadsheets? Apparently so. I’ve caught this nasty computerized bug lately. The symptoms are harder to shake than swine flu and almost as appealing. It’s figuring out my ‘cost to own’ for a variety of cars. The goal: get my cost down to 10 cents a mile. Three hours and too much wine later, I wondered. “Can it really happen in this world of $3 gas?” With purchase price, insurance, gas, opportunity cost, maintenance, repairs, and government fees aplenty, not to mention a junker selling price with inflation to boot, I wasn’t quite sure. In fact my head was spinning. The final answer?