Article: PSA will supply diesel engine for the Mini; Toyota unit will be scrapped, sources say.(News)

Byline: Jens Meiners

BMW's next-generation Mini will share gasoline and diesel engines with PSA/Peugeot-Citroen, sources say.

The two companies have developed a new 1.4- and 1.6-liter gasoline engine family that will be built in a new [euro]330 million assembly facility inside Francaise de Mecanique, PSA and Renault's joint engine plant here.

The PSA/Mini gasoline engine family, called the Prince, will go into the second-generation Mini that is due to arrive in the fourth quarter of 2006.

The engines also will be used in small and mid-sized PSA models, starting with the Peugeot 207 small-segment car in October 2005.

The new ...

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