Diesel Renaissance: A 2013 Chevy Cruze Diesel Could Outdo the Prius

Although General Motors doesn't have the best track record with diesel cars, it's making a smart decision by planning a 2013 U.S. introduction of the diesel Chevrolet Cruze it now offers only in Europe. Although the current Cruze Eco is impressive at 42 mpg on the highway, GM needs diesel economy to really beat the hybrids at their own game.

The direct-injection two-liter version of the diesel Cruze could get to 51 mpg on the highway, and will be sold here for as little as $22,000. That means it's likely to meet the mighty Toyota Prius on fuel economy and undercut it on price.

Lesley Hettinger, a GM spokeswoman, won't confirm which version of diesel tech will come to the U.S. (there is also a 1.7-liter engine for Europe). But she makes clear why GM is going this route:

Fuel economy is the number one reason for purchase today in the compact segment. The diesel version will complement the Cruze Eco in our lineup.

Cruze holds its own in Europe
The Cruze is doing very well in Europe for an American car, with 59,261 sold so far. Only Chevrolet's Spark mini-car has outsold it (126,662) there. GM spokesman Marc Kempe said that it's likely that diesel sales are more than 30 percent of the Cruze's total, "because diesel is very important here in Europe, and particularly in this segment."

American diesel resistance could be starting to melt, though the numbers may reflect a temporary aberration. In May, U.S. consumers bought 9,000 diesels, which was up 34 percent from a year earlier. In June, volume declined seven percent, mostly because sales of the diesel Volkswagen Jetta (which claims a whopping 60 percent of the segment) were down.

Some diesel sales are a reflection of the current hybrid supply shortage -- diesels are the best bet for getting similar mileage. We could see further erosion in the segment when hybrids flood the dealerships again.

Smoke and poke
Both BMW and Mercedes have long pushed diesel in the U.S., and Mercedes began selling them here in 1968. But nobody remembers the early cars fondly because they were so sluggish (and belched black smoke) -- a period Mercedes 200D produced just 55 horsepower, and took 28 seconds to reach 60 mph. Modern German diesels are much better, of course. BMW's 335D does zero to 60 in six seconds, and isn't followed by any noxious clouds. BMW's best-selling diesel is the X5 xDrive35d, which accounts for 30 percent of X5 sales in the U.S.

Grim memories
But even if people do start buying a lot of diesels here, will they shop in GM showrooms? Bad memories die hard. GM rolled out some diesels in the late 1970s in response to the gas crisis, but they didn't cover the company in glory. Connecticut resident Lance Wilcox bought a 1979 Oldsmobile 98 diesel, with initially favorable impressions:

I loved the fuel economy and the car, right up until the point it broke its crankshaft at 9,000 miles. They replaced the engine, but didn't do a great job, and I ended up trading it in on a 1981 Audi diesel.

The GM corporate partners shared the grief associated with its diesel debacle of the early 1980s. Failures were commonplace, often including internal engine components. At the time, mechanics and service writers referred to warranty repair orders as 'A.F.A.' -- or Automatic Factory Acceptance, and each respective franchise had mountains of repair orders.

One more wild card is the price of diesel fuel, which tends to fluctuate quite a bit against gasoline. Right now diesel commands a 20-cent price premium (at $3.95 a gallon average), and that will discourage some prospective buyers.

Caveats aside, the days when GM sold green cars in Europe and gave us gas guzzlers seems to be over, and a diesel Cruze makes sense next to the Cruze Eco in Chevy's 2013 green inventory.

Related:

• Americans Buy Hybrids, not Diesels, so Diesel-Friendly VW is Electrifying
• Fuel From Forests: Biodiesel's Darker Shade of Green