There are some dominant factors which affect the technology development of diesel engines, including market requirement, emission regulation, fuel economy, customer satisfaction and cost. In the above aspects, modern diesel engines have advantages over gasoline engines, therefore advanced diesel technology is an important direction for passenger car engines. At present there is a visible gap in the diesel engine technology for passenger cars between China and foreign developed countries. In order to realize independent development of advanced diesel engines with low fuel consumption and pollutant emissions, and meet the need of the future passenger car market in China, it becomes urgent to break through the difficulties in the technology of modern diesel engines, such as high-efficient and clean combustion, electronic controlled fuel injection, engine management, engine and vehicle calibration,etc.