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Saab considers the diesel option

European lead: Saab has a strong diesel following in Europe and hopes to develop the same here.

Product-starved Aussie Saab division looks to oil burners for a boost

14 Nov 2003

SAAB is the latest car company in Australia to consider adding turbo-diesel to its product range.

In the smaller Swede’s case, it’s a sophisticated new generation 1.9-litre oil burner that could be added to the 9-3 compact prestige sedan line-up here late in 2004.

The model, yet to be launched in Europe, offers the product-starved company a rare opportunity to expand its Australian range. The 9-3 is currently powered by 2.0-litre turbo engines in a variety of tunes.

It has just launched the 9-3 convertible in Linear form here and we get the Aero version next March. The next all-new vehicle to arrive will most likely be the production version of the Sport-Hatch wagon in September 2005.

Local hopes of adding the Subaru Impreza-based 9-2X five-door hatch, due in 2004, are also dimming fast. The Chevy Trailblazer-based 9-7X four-wheel drive wagon, also due soon, was never considered for right-hand drive.

"We are looking at diesel," said Saab Auto-mobile Australia managing director Tony Jennett.

"There is a new common-rail turbo-diesel engine coming and that is one we will look at more seriously.

"I think some of the European brands have pioneered diesel here and with the quality of diesel improving and some excellent diesel engines coming through, then that might be another niche we might tap into." The addition of diesel would also help Saab beef up its non-metro dealer points.

"It’s not huge volume, but I think there are some specific opportunities for a good diesel in some of those markets," Mr Jennett said.

He also believes Saab’s "quirky" reputation would make launching and marketing diesel here easier.

"We could get away with it, it’s a point of difference. That’s why we are looking into it," Mr Jennett said.

SAA would limit its diesel experiment to the 9-3 sedan for the moment because the larger 9-5 – which could use a sales boost – only has a manual gearbox mated to its Isuzu-sourced 3.0-litre V6 t-d engine. There is also a 2.2-litre engine offered in 9-3, but it is not common rail.

SAA product planning boss Paul Ellis investigated the new 9-3 turbo-diesel during a recent visit to Saab’s headquarters in Trollhatten.

"There was some discussion about it while he was there," Mr Jennett said.

"It was confirmed in terms of production timing. But he (Mr Ellis) hasn’t been back long so we need to sit down and debrief and then look at pricing, potential volumes, spec and so on. We haven’t done that exercise yet." Peugeot is the passenger car diesel market leader in Australia, while Mercedes-Benz and Citroen also have a presence.

Mazda, BMW and Volvo are also looking to get into the diesel market, although the latter is considering it for its XC cross-over range rather than passenger cars here.

Audi, BMW and Benz already sell t-d cross-overs here.

Holden is the manufacturer that has expressed the most interest in using turbo-diesel technology as part of its locally-built range, primarily to help it achieve fuel consumption targets.

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