http://www.autoweek.com/cat_content.mv?content_code=06221563(05:38:47  
Dec. 14, 2003)
Burning the Midnight Oil: VW banks on diesel for the near future

By ROGER HART

VW plans more diesels next year, but for now you can get one under 
the hood of a New Beetle.

VOLKSWAGEN'S DIESEL SYMPOSIUM could have just as easily been labeled 
an "alternative-to-the-fuel-cell symposium," considering the event 
was held just one week after all the fuel cell and hybrid cars were 
unveiled at the Tokyo Motor Show.

"I doubt anyone in this room will ever see fuel cells replace the 
internal-combustion engine," said Volkswagen chairman Bernd 
Pischetsrieder, setting the tone for the discussions to follow.

"The big questions remain: Where do you get the hydrogen? Is it 
better to burn the hydrogen in the engine, or use it to produce 
electricity for electric motors? Big questions."

Volkswagen's eagerness to show the company's diesel technology 
prowess is easy to understand. VW is the world leader in diesel 
engine production, with three-, four-, five-, six- and 10-cylinder 
engines accounting for 49 percent of the company's sales in Europe. 
VW is the only manufacturer selling diesel-powered passenger cars in 
the United States (Golf, Jetta and New Beetle), although Mercedes 
among others will be bringing a diesel (E-Class) version next year.

Even though VW's diesel inroads in the United States have been 
modest, accounting for about 10 percent of the company's annual sales 
of 320,000 cars, the chairman remains upbeat.

"I am absolutely convinced there will be a breakthrough of diesel 
sales in the U.S.," Pischetsrieder said. "Absolutely convinced."

Pischetsrieder's confidence stems from his belief that logic will 
eventually win out with U.S. customers. Diesel engines are more 
efficient than gasoline engines-you can go farther on a gallon of 
fuel-and diesel provides more engine torque, giving drivers the 
feeling of power even in small-car applications. Plus, the new 
generation of turbocharged-unit-injector diesel powerplants are 
cleaner, less noisy, and more efficient than diesels of the past.

"For 30 years we have told customers the wrong story," said Wilfried 
Bockelmann, VW board member for technical development. "We've talked 
about horsepower and not torque. Torque is what you feel and what 
people want. Diesel delivers torque, and the country that needs it is 
the U.S. With all those vehicles with the aerodynamics of a baroque 
cabinet, diesel will make it a more pleasurable experience."

Hartmut Heinrich, the head of VW's fuel strategy department, projects 
that diesel-powered light trucks (Bockelmann's "baroque cabinets") 
will make up 27 percent of its market by 2010. He adds that hydrogen 
does look like the fuel of the future, but that future is about 30 
years off.

"There could be limited use by 2020, but we really see the 
internal-combustion engine to be the main source of propulsion for 
the next 30 years," Heinrich said. "The use of hydrogen as a fuel 
source will only be feasible after all barriers, technical and 
economical, have been overcome."

Back to diesels: VW will offer its mammoth 310-hp, 553-lb-ft 
twin-turbocharged V10 diesel in its Touareg sport/utility vehicle 
next year. Plus, early next year both the Passat sedan and wagon will 
have optional diesel inline four-cylinder powerplants.
In the United States, the biggest hurdles for diesel acceptance 
remain emissions and fuel availability, and at the pumps there is 
less incentive since diesel costs about the same as gasoline.

VW's Richard Dorenkamp, head of diesel after-treatment, says diesel 
use in the United States should increase after 2006 when U.S. 
emissions laws mandate low-sulfur diesel fuel. Europe has enjoyed the 
benefits of the low-sulfur diesel for years, helping Europeans 
embrace its use.

With the increased efficiency of a diesel, someone driving 15,000 
miles per year would save about 30 percent on fuel costs. But the 
diesel option adds about $1,400 to the cost of the new vehicle. 
Consumers may not want to wait the three to four years (or more, 
depending upon driving habits) for the payoff.

"Once people realize they can get 50 percent more torque, and that 
the fun factor is much higher, we think people will want this," 
Bockelmann said. "With more cars, you will have more availability of 
the fuel. Plus, we think this is a good alternative to a hybrid. Much 
more fun."

 

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