The Mercedes-Benz E320 Bluetec is the hands-down winner in 2007 luxury car fuel economy. And make no mistake about it, this sedan's no performance slouch, by any means. The Mercedes-Benz E320's smooth Bluetec turbodiesel engine produces enough torque and horsepower to propel the car to sixty miles per hour in under seven seconds. That's quite a nice 0-60 time, considering that the E320 delivers 23 city and 32 highway miles per gallon.

The turbodiesel's numbers tell the tale. The Mercedes-Benz E320's 24-valve 3.0 liter V-6 cranks out 208 horsepower at 3,800 rpm and produces net torque of 388 lb-ft between 1,600 and 2,400 rpm.

When you use the MPGoMatic mileage calculator to compare the fuel costs of the E320 against other luxury cars, it really shines. The vast majority of the luxury cars sold in the United States require pricey premium gasoline for their high-compression engines.

The runner-up BMW 530i - a wonderful car in its own right - delivers 18 city/28 highway on premium fuel.

Lets compare that to the E320's 23/32 MPG.

For the purpose of demonstration, we'll use a 10% difference in the cost of fuel. If you drive 30,000 highway miles annually in the 530i, with a cost of $3.30 a gallon, your fuel costs will be approximately $3,540.

If you drive the same distance in the Mercedes-Benz E320, with a cost of $3.00 per gallon, your fuel costs will be roughly $2,820. This represents a savings of $720 each year.

That's not too shabby when you stop to consider the number of miles that thrifty Mercedes diesel owners typically put on their cars. 200,000 or 300,000 miles is not uncommon, and they've been known to run for far more. A diesel engine is a bonus at trade-in time, as well ... with diesel-powered cars enjoying resale values significantly above their gasoline-powered counterparts.

Many folks think of diesel-powered cars as both stinky and noisy. The Mercedes-Benz E320 Bluetec is neither. The E320 is the most technologically advanced and cleanest-running diesel to be sold in the States, to date.

Mercedes is to be applauded for their excellent efforts in bringing the first clean diesel to the States. We're looking forward to the company extending its lead in the field by growing market share. It's clear that America is hungry for clean fuel-efficient diesels. It will be a wonderful day when Mercedes begins offering Bluetec engines throughout their range, specifically in their least-expensive offerings ... a 50 MPG entry-level Mercedes-Benz certainly would be tough to resist.