Another automotive manufacturer has announced that it is to introduce new diesel models onto the market.

Volvo has become the latest manufacturer to add further diesel models to its ranges, Reuters reports.

The manufacturer has added a high performance diesel model to both its S40 saloon and V50 estate ranges.

"We believe the introduction of the range-topping D5 turbo diesel to the Volvo S40 saloon and V50 Sportswagon ranges gives corporate motorists who are downsizing the inherent benefits of a larger diesel engine in a smaller car," said spokesman John Wallace, according to Reuters.

It will come with an automatic transition as standard – a first for a Volvo diesel.

The news from Volvo follows soon after Honda's announcement that it is to begin selling diesel vehicles in the US and Japan by 2009. It already sells diesel-powered vehicles in Europe.

Diesel vehicle sales have been held back in the US owing to a traditionally poor reputation among drivers. The latest diesel fuels used in Europe are also not yet widely available in the US.

Ÿ Adfero Ltd