Chevy Becomes The First To Return To The U. S. Market With A Diesel Car To Invade The Germans

History

The last time Chevy offered a diesel engine in a car was with the outgoing Chevy Chevette in the mid-eighties. Fast forward a few decades, Chevy is the back in the game. This time they have returned with a diesel engine in its popular compact, the 2014 Cruze.  In fact, the Cruze becomes the first car outside of the German makes: Audi, BMW, Mercedes, and VW, offering a diesel in America. As a side note, Jeep is currently offering its first diesel in the non-car segment with the Grand Cherokee, while Dodge, Chevy and Ford have been players in the diesel light duty truck segment for years.

And for those who may have some hesitation about Chevy taking on the diesel car segment, their engineers are quick to say that the diesel engine that will be available in the Cruze has been tried and tested in Europe for close to two decades in their Opel cars, the automaker’s non-American brand. So, with this being the case, GM is ready to take on the American car segment again, this time with a fuel-efficient, odorless turbo diesel that will go head-to-head with the widely-popular VW Jetta TDI.

Diesel Sales

Ironically, over the past two years, diesel passenger cars have outsold diesel passenger trucks in the U.S, with only the Germans playing in this segment. This is supported by the fact that U. S. consumers purchased 101,624 and 125,222 clean diesel cars respectively, in 2011 and 2102, according to hybridcars.com. In a year’s time, diesel car sales rose by approximately 23,898 units.

The Jetta TDI, which led the pack, accounted for 48,099 of the diesel cars that were sold last year, which equates to about 28 percent of the diesel car segment. With this type of growth, Chevy sees an opportunity to capture a percentage of those sales with the new Cruze diesel. Unfortunately, we were unable to get GM’s executives to reveal their actual sales goal for the compact Chevy.     

 

Initial Launch/Target Market

Chevy’s Cruze diesel will be available initially in about 12-key states.  By the third quarter, the vehicle will be available in all 50 states.  Ironically, we found a Cruze diesel on the lot of a Chevy diesel this past weekend outside of metro Atlanta.  

In order to tackle the diesel segment, Chevy’s vice president of marketing, Chris Perry, says the brand has put together a three-prong marketing approach.  First Chevy plans on targeting military personnel, seeing that many of them that have spent time outside of the U. S. have a comfort zone with diesels. In fact, in Europe diesel cars dominate gasoline models, which is just the opposite here in the states. Next Perry says Chevy plans on going after those consumers that own a diesel truck. In many cases, diesel truck owners are primed to own a diesel car. They are familiar with the durability, maintenance and the great gas mileage. Lastly, Chevy plans on doing what many will call the obvious, using some of their marketing dollars to go directly after VW Jetta TDI buyers.

VW Jetta TDI: An Alternative to Hybrids?

What's New About the Jetta:
While the European design of this midsize sedan has been around for a few years, VW now offers a turbo diesel injected engine in the Jetta, making them the first automaker to offer a clean diesel in all fifty states.

Must Have Goodies:
The Jetta TDI we reviewed was a basic midsize vehicle without all of the frills and tech gadgets some automakers use to woo customers. Our Jetta was equipped with a double clutch 6-speed manual transmission, a manual tilt and telescopic steering wheel, a height adjustable front center armrest, a high quality sounding radio with an in-dash 6-disc CD changer, a Satellite radio and heated front seats. The only option was the set of four rubber floor mats which listed for $200.

What Rocked:
The simple and organized layout of the instrument panel rocked. Other automakers use VW's interior layout as a benchmark for its vehicles. And the best feature yet about this new diesel is that we were able to rack up over 500 miles on one tank, without having to refuel. For $23,000, this vehicle could possibly be a better alternative to some of the premium price hybrids. Like with some hybrids, the government is offering a tax credit on diesels, too.

What We Hated:
The slight grumbling sound of the diesel at start-up was one of our minor concerns. Fortunately, unlike the dirty diesels of the past, this one didn’t emit smoke or other fumes into the ozone. Also its time for VW to consider doing some minor tweaks to freshen up the exterior design and to keep up with its competitors. And the only item which was somewhat bothersome was that the driver’s legroom was impeded by the center floor console. While we enjoyed the additional storage from the floor mounted center console, our right leg rested uncomfortably against the console.

Any Juice:

Although the diesel was equipped with a 2.0-liter 140-horsepower engine, the 236 pounds of torque caused the vehicle to be quite responsive. If power is your thing, you won’t be disappointed with the 6-speed manual transmission VW.

Verdict:

It’s no wonder why VW hasn’t focused its energy on building hybrids with their new diesels. As long as consumers get past the bad rap sheet diesels have earned of being dirty and loud, Jetta has a hit on its hands. You couldn’t ask for another vehicle to be so well equipped with the comfortable form fitted seats, driver-friendly fuel consumption and the pricing. It’s easy to see why VW sales are only down slightly during this recession as opposed to most other automakers. Although VW doesn’t offer rebates, consumers should be able to find competitive lease rates.

Other Non Diesel Competitors: Honda Insight, Fusion Hybrid, Toyota Prius.

To price out the Jetta or other vehicles, visit JeffCars.com's New-Vehicle Pricing Guide .