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The company says its new 2.0-litre engine is the most thermally efficient petrol unit in production.

This 2.0-litre, four-cylinder petrol engine claims to offer a thermal efficiency of 40 percent, which is only 1 percent shy of what the Prius offers with its 1.8-litre hybrid engine. The company has gone on to say that it can offer unparalleled levels of fuel economy as a result. It has used new friction-reducing technology and more efficient exhaust and cooling systems to create this engine. For reference, most petrol engines have a thermal efficiency of about 20-25 percent.

This engine makes 171hp and will also work with hybrid electric power. The engine is expected to feature in the upcoming Auris that will be shown at the upcoming Geneva motor show. The new Auris will have two hybrid engines, with the existing 1.8-litre hybrid powertrain also on offer.

The company has also designed a more efficient CVT gearbox that offers quicker off-the-line responses of a standard automatic but with the higher efficiency of a CVT.

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