Thanks to technological breakthroughs, at least six automakers - starting with Mercedes on Oct. 16, Jeep in early 2007, and eventually even hybrid pioneer Honda - will be launching a fleet of New Age diesels. They promise to boost fuel economy by 25% to 40%, with huge torque and turbochargers to deliver the power American drivers crave.

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The first breakthrough is that ultra-low-sulfur diesel fuel will roll out to the nation's pumps this month. The move was mandated by the EPA, whose 2009 emissions rules will hold diesels to the same standards - the world's toughest - as gasoline cars. (Environmentalists were thrilled, oil companies less so: The rollout will cost them $6 billion to $9 billion.) The new fuel eliminates 97% of sulfur, and it's also the catalyst for automakers to devise strategies to reduce the remaining pollutants.