PSA Suspends Development Work on Diesels

PSA Group has ruled out further development work on diesels, pending clarity about future demand for such engines.

Product director Laurent Blanchet tells Autocar that the carmaker has decided against developing next-generation technologies for the next 4-5 years until it can determine future demand.

Last spring PSA introduced a high-tech, 1.5-liter turbo diesel (pictured) that meets Euro 6 emission standards. Blanchet says the powerplant, likely to be PSA’s last all-new diesel, will “keep things going for now.”

European sales of diesels, which have totaled half of the car market in recent years, plummeted to about 36% this year. Blanchet says PSA would revive its development work if diesel demand stabilizes at 30% of the market but definitely give up on such engines if their market share sags to 5%.