It’s a good question. One of the advantages of diesel is that it is a rather fuel-efficient engine. I would assume that one of the reasons that hybrids don’t often incorporate diesel engines is that diesel gas is often more expensive than unleaded gas.
However, the 2010 Mercedes Benz E300 Hybrid is a diesel hybrid car — I’ve linked a review below so you can check it out.
According to the second link listed below diesel-hybrid cars have been on the drawing boards since around the 1990s when the Clinton Administration’s research teams thought up three versions of 80 mpg diesel-hybrids. GM, Opel Asra, Volkswagen and BMW have all been talking about diesel-hybrid models.
At one point there was a lot of call for Diesel hybrids and a lot of plans for them because they are often more fuel efficient and emit fewer CO2. However, recent studies have shown that diesel emits more nitrous oxide and particulate matter which can cause lots of health problems and far more than regular petroleum, so a lot of the demand for it dropped.
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