Volvo revamps European diesel lineup

Volvo says that its new 2.0-liter, five-cylinder turbodiesel engine, which first premiered in the company's all-new S60 sedan, will be offered in all of its European offerings for the 2011 model year in a variety of output configurations.

The engine brings with it a new - and slightly complex - nomenclature structure for the automaker's European lineup. Volvo has no firm plans to export any of its diesel powertrain levels to North America, however.

The entry-level 2.0-liter puts out 148 horsepower and will be badged D3 in the company's smallest offerings, the C30, S40, V50 and C70. A more powerful version badged D4 will crank out about 175 horsepower and will also be available in the C30, S40, V50 and C70.

For eco-conscious would-be Volvo owners, the company will begin offering an even smaller 1.6-liter four-cylinder diesel badged D2 on the C30, S40 and V50. This engine cranks out a mere 112 horsepower but averages an impressive 55 mpg (converted to U.S. gallons) combined and emits a mere 114 g/km when mated to the standard six-speed manual transmission.

Meanwhile, Volvo's larger S80, V70, XC70 and XC60 models will get a new base 161 horsepower, 2.0-liter five-cylinder turbodiesel that will help the models qualify for the United Kingdom's 160g/km Writing Down Allowance, which offers significant tax breaks for vehicle fleet operators.

Volvo is expected to announce 2011 changes to the North American lineup in the coming months. An internal memo was leaked to the media earlier this year that indicated a number of powertrain changes - including the deletion of naturally-aspirated engines for the S40 and V50 and the range-topping S80 V8 model.