BMW is poised to launch two new compact executive diesel models which it believes will 'bury the popular perception of diesels as noisy, smelly and dirty once and for all'. The four-cylinder 320d Saloon which made its debut at the London Motor Show and is on sale now, while the second is the larger six-cylinder common rail 3.0-litre 184bhp 330d SE which will reach showrooms early in 2000.

A 320d SE Touring will be available in January and 330d SE Touring in May 2000. Powering the 320d is a 1,951cc four-cylinder direct injection engine which, BMW says, produces the highest specific power and torque outputs of any production diesel in its class - 136bhp and 206lb-ft of torque, or the same level as the 328i petrol engine, yet at a lower rev range. Fuel consumption is 49.6mpg, 11% better than the 318tds it replaces.

The 320d costs £21,345 and the Special Equipment (SE) £22,645.

The 330d SE is powered by the common rail DI 3.0-litre straight six-cylinder engine from the 530d, delivering a 287lb-ft of torque at 1,750rpm. The car will cost £26,995 when it reaches showrooms in January. A Touring version will follow in the spring. Kevin Gaskell, managing director of BMW GB, said: 'Although the UK Government's obstinate denial and illogical diesel price policy, contrast with the combined wisdom of other EU members states, there is still a healthy demand for diesels here, but we have been unable to compete effectively in the recent past.'