Honda makes more engines in the world than anyone else. Honda is known to make bullet proof, silky smooth and very fuel efficient petrol engines but does not have too many diesel engines in its range. In fact, Honda is vociferously anti diesel. This attitude is attributed to its pride as an independent thinking company that does not follow trends but sets them. In fact in Europe where diesel engines have a wide acceptability Honda found itself on the back foot and therefore made one diesel engine of 2.2 litre capacity. This engine finds use in the Accord and CR-V in Europe. In India, Honda refused to be drawn into making diesel powered cars. In fact, there were some reports about a year ago that Honda will ditch the diesel engine even in Europe and will look at hybrids to replace it. These reports were never confirmed. Now in India, with the advent of European players (read that as Volkswagen and its group company Skoda) and the Korean Hyundai diesel engines of the latest technology have found their way into cars and into the hearts of the Indian people who love the fuel economy they offer and also the lesser price that they have to pay for the fuel. Ford, GM, Fiat and Tata have long been offering diesel cars. Even Maruti uses the multijet diesel engine from Fiat in its Swift, Dzire, Ritz and the SX4 cars. However none of them have the brand value to that Honda has and therefore in spite of possessing great diesel engines they have not been able to make a dent in the sales of Honda’s bread and butter model, the City. The arrival of Volkswagen has been the game changer in India. VW is perceived of as an up market brand and its Vento which is the direct competitor of the City comes with diesel power and has been selling more than the City for the past couple of months. Now Honda has realized that there is no getting away from diesel engines in India and has officially said that it will make diesel engines for the City. However that will only happen sometime in 2013. Is this a case of reacting a little too late? Skoda will introduce the Rapid sedan which has the same underpinnings of the Vento and will have the same engines as well. The competition is hotting up for Honda and we think it needs a diesel engine quicker than 2013.