2018 Chevrolet Equinox

Written by By Mike Hanley

"CARS.COM — "If you think diesel is dead, think again. Volkswagen's diesel-emissions scandal significantly tarnished the engine's reputation in the U.S., but even though VW has decided to stop selling diesels here, other automakers plan to add diesels to their lineups. And they're doing it in one of the hottest segments: compact SUVs. " Posted By Senior Editor Mike Hanley of cars.com on December 16,2016

The redesigned 2018 Chevrolet Equinox and Mazda's redesigned 2017 CX-5 will both offer a diesel engine in the U.S. next year. Official pricing and EPA fuel economy estimates aren't currently available for either diesel SUV, but some initial specifications have been released.

The Equinox uses a turbo-diesel 1.6-liter engine that makes 136 horsepower and 236 pounds-feet of torque. The engine pairs with a six-speed automatic transmission and GM estimates highway fuel economy will be 40 mpg, which is 9 mpg better than the SUV's next-most-efficient engine.

The CX-5, meanwhile, will offer a performance-focused turbo-diesel 2.2-liter engine. The engine is rated at 173 hp and 310 pounds-feet of torque in overseas markets. Jacob Brown, Mazda product communications spokesman, said those figures shouldn't change much for U.S.-spec engines.

So why are these brands launching diesel models now? "We wanted to give our customers more choices," said Kay Jarboe, Equinox product marketing manager. "The compact SUV is now the largest segment out there. It's a good time to offer a really good breadth of product." The 2018 Equinox also offers two gas engines.

For Mazda, diesel's relative uniqueness aligns with the brand. "Mazda is awfully good at finding buyers who want something a little different, a little off the beaten path," Brown said. "There's an opportunity with this [engine], especially with no dominant player in the diesel segment right now. There are buyers who will be seeking this out who've sought out other Mazda products."

Diesel also gives automakers another way to address government fuel economy regulations, which are poised to tighten in the coming years. "I think, as crossovers become more popular, [adding diesels] is a very easy way to increase your average fuel economy because you're passing your cost off to the consumer," said Dave Sullivan, an analyst with automotive research firm AutoPacific.

The diesel-engine price premium can be significant; the available diesel for the rear-wheel-drive 2017 Chevrolet Colorado mid-size pickup truck costs nearly $5,000. The upcharge for these compact SUVs, however, should be less. "Generally, [the diesel] is likely to be a couple thousand dollars more than the gasoline option," said Stephanie Brinley, a senior automotive analyst at information consulting firm IHS Markit.

Regardless of how the Equinox and CX-5 diesel engines are priced, they'll enter a market populated with increasingly efficient gas engines at a time when fuel prices are low and relatively stable. "The delta between gas and diesel continues to shrink in terms of fuel economy," Sullivan said. According to AAA, the average price for a gallon of regular gas on Dec. 14 was $2.22, or $0.21 more than the same time in 2015, while the average for diesel was $2.43, or $0.08 more than in 2015.

Modern diesels are nothing like the loud and dirty engines of the past, but the perception remains and it's been compounded by VW's diesel troubles. "The words 'clean diesel' aren't exactly going to be going over well with consumers," Sullivan said. "Trying to come up with a way to make these vehicles sound appealing is going to be a very difficult task."