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No diesel for Renault XBA hatchback

Renault is all set to unveil its Maruti Alto rival (Codename: XBA) on May 20, 2015. The XBA will come with an all-new 800cc, three-cylinder petrol engine (Codename: BR8).Additionally, future engine options for this hatchback could include a more powerful 1.0-litre motor (Codename: BR10).
Our sources tell us that the XBA will come in a petrol guise, and won't get a diesel engine primarily for two reasons.
Firstly, the engine bay is designed to accommodate just the BR series of small motors. And secondly, while a three-cylinder motor was in the pipeline, Renault has shelved the plans as future regulations could lead to diesel losing its cost advantage. The Renault XBA is also expected to come with an automated manual transmission (AMT).
Based on the new, highly flexible CMFA platform, the Renault XBA, rumoured to be called the Kayou. Its styling is expected to be more like a crossover than a compact hatchback. Company insiders tell us that the XBA will be a low-budget offering, but will show no obvious signs of cost-cutting, like you would normally see on low-cost cars.

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