Today, BMW of North America announced the pricing of its 335d sedan and X5 xDrive 35d Sports Activity Vehicle – the first BMWs to be powered by compression ignition since the company stopped selling the 524td over 20 years ago.

2009 BMW 335d

New Generation Diesels

It has been almost 11 months since BMW previewed the first diesel models to be offered in the U.S. in almost 20 years at the 2008 North American International Auto Show in Detroit. Pricing for the 335d will begin at $44,725, while the X5 diesel variant will start at $52,025. Both prices reflect a fairly substantial premium over their gasoline-powered stable mates. In the case of the 335d, this represents an 8.5% increase over the base price ($40,925) of a comparable gasoline version; while the same 3.0 liter turbocharged direct injection diesel application in the X5 commands a $4,100 premium over the gasoline-powered X5.

So what do you get for your extra dollars? To begin with, there is a drop in horsepower from 300 in the gasoline engine to 265 in the diesel. But horsepower isn’t really a diesel’s strong suit. The big difference is in fuel economy, where the diesel promises up to a 30% improvement, as well as in engine torque. While the gasoline engine manages an impressive 300 lb.-ft. at 1400 rpm, the diesel produces a whopping 425 lb.-ft. The only drawback to diesel lovers is that both versions will initially be available only with a six-speed automatic transmission. According to BMW, the torque of the diesel engine is too substantial to be mated to a manual transmission at this time.

 2009 BMW X5 xDrive 35d

Tax Credits

Performance aside, the higher cost of both vehicles can be partially offset by help from Uncle Sam. Both qualify for the IRS Alternative Motor Vehicle Credit with the 335d qualifying for a maximum tax credit of $900, while the X5 xDrive 35d qualified for a maximum credit of $1,550.

The Bottom Line

Despite the high cost of diesel fuel, here at LotPro.com it’s nice to see manufacturers getting back into the diesel market. After driving a VW Passat TDI wagon in Europe this summer (with a 4-speed manual transmission), we can promise you that torque and fuel economy are every bit as fun as horsepower.

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Tags: 335d, 524td, BMW, north american internatiional auto show, vw passat, X5 xDrive 35d