DaimlerChrysler has announced plans to distribute its diesel vehicles in Japan, as soaring costs of petrol have increased the demand for alternatives in the country.

Japan currently imports nearly all its oil, leaving it particularly vulnerable to fluctuations in price. As prices continue to rise, the country is eager to seek an alternative, which is what Daimler is looking to provide.

The German car giant is to begin selling diesel-powered passenger vehicles in Japan from the beginning of 2006 in a move that is also designed to boost the Japanese aims to meet targets on vehicle emissions.

According to the Nikkei, diesel versions of the Mercedes C- and E-Class luxury vehicles are to go on sale in Japan next year, with the possibility of more brands following.

The introduction of diesel powered vehicles into the Japanese passenger market follows the recent decision to change Japan's rules relating to high-emission trucks, so that trucks failing to comply with laws on emissions will be banned from some of the country's main business centres, including Tokyo and Osaka.


Ÿ Adfero Ltd