BMW will launch its first diesel coupe this year using a 204bhp version of its six-cylinder 3.0- litre common rail diesel engine.

The 330Cd will go on sale in right-hand drive markets in 2004 and will rival the Mercedes-Benz CLK270 CDI.

The move coincides with subtle styling changes for coupe and convertible versions of the 3-series, following modifications to the saloon and Touring models in 2001. The 3.0-litre engine uses second-generation common rail injection, has 20bhp more than before and produces 302lb-ft of torque at 1,500rpm.

Combined fuel economy is 43.5mpg, compared to 31.0mpg for a petrol 330 Ci.