It seems demand for turbocharges is increasing since they offer a inexpensive way for automakers to reduce fuel-consumption. In an interview with Automotive News Europe , Daimler board member, Thomas Weber, said that all Mercedes-Benz models will have turbocharged engines within the next two-and-a-half years.

"All our vehicles will have turbocharged engines in series production by the end of 2010 at the latest," said Weber.

Weber said the first part of Daimler’s long-term strategy to reduce CO2 emissions and fuel-consumption levels is to improve the efficiency of existing models in its lineup. Later on it will offer more models with hybrid technology. The Mercedes-Benz S-Class hybrid arrives later next year.

Weber said Mercedes-Benz will also use technology such as fuel cells and electric-powered vehicles in the near future. A full-electric Smart ForTwo is going into production in 2010.

Source: Automotive News Europe (Subscription Required)