Re: Euro diesel reaches the USLJ <laremoDelete@yahoo,com > wrote:
> > Diesel cars and diesel fuel are *not* subsidised in Europe. Where did
> > you get this nonsense from? It *is* slightly cheaper in some countries
> due largely to different tax rates for diesel, ergo subsidized.
Do you actually know what the word 'subsidy' means? You are still
talking nonsense.
>Germany,
> Spain and other countries have also allowed tax benefits for diesel owners
> until recently, I'm not sure if the same is still true. As to the cost
> difference, I read that there was a premiun for diesel Beemers, but not as
> great as the typical difference here.
It depends how you look at it. Take the Jaguar S-Type (first luxury
diesel car whose UK prices I could find in a hurry). The 3.0 litre V6
petrol is £32085. The 2.7 litre diesel is exactly the same price, but in
a slightly lower spec. So there is a price difference, buit it's very
minor.
> However, if economies of scale have
> been achieved, then there is no reason why they would charge such a high
> premiun here
This is true. The luxury cars still tend to use petrolk more than
diesel. Where you have more mass-market ranges, the percentage of diesel
ownership is far higher. Take Ford, for example - the 1.6 turbodiesel,
again, is actually *cheaper* than the petrol, but again, it's
lower-specced.
If you compare it spec-for-spec, it's about £500 pricier, but then its
performance figures in 'normal' driving (ie: mid-range power and torque,
which is where diesels really score) is better than the petrol. Put it
against the slightly larger 1.8 and there's no price difference.
I strongly suspect that the pricing of diesel engines has more to do
with marketing and selective pricing than the actual build cost. But by
and large, where there is an increase, it's minor.
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