BMW has decided to engage futher the European low-CO₂ market segment with the launch of the BMW 316d. The 316d uses the same powertrain as the 116d and gets remarkably low CO₂ emissions of just 118 g/km. In both cars, BMW uses a detuned version of its 4-cylinder 2.0 liter diesel engine, found in 18d, 20d and 23d iterations, depending on power. The difference between the 318d and the 316d isn’t much, just lowered carbon dioxide levels of 5 g/km. That little drop can make a big difference for many European taxpayers, though, because in most countries, cars emitting less than 120g/km qualify for a tax bonus. There’s a €700 bonus in France, no registration tax in Spain, and the lower VED B tax band in the UK. Of course, fuel consumption for the 316d is also reduced a bit, down to 4.5 l/100km (52mpg U.S.). What’s the downside? The 316d starts at around €30,000 in France.