Toyota which has aggressive strategy to stamp its mark in India plans to launch its proposed small car with diesel engine. Unlike Honda and Suzuki, Toyota has versatile diesel engines that can be modified to suit the Indian conditions. “We are keenly studying the diesel option for the small car to be launched by 2011. It will depend on the market and the government regulations regarding diesel engines,” Toyota Kirloskar Motor(TKM) Deputy Managing Director (Marketing) Sandeep Singh said. The new small car would be out by the end of 2010 and the diesel variant is expected by the second half of 2011. We already reported to you Toyota’s Fortuner launch on August 24th and Toyota’s plan on corolla altis diesel launch.