DaimlerChrysler will put a new four-cylinder, 1.6-liter gasoline engine into the PT Cruisers that will be built at the Eurostar plant in Graz, Austria, starting early next summer.
The engine will be offered to the European market, but will not be an option for the United States, Mexico, Canada and South America.
The powerplant will be manufactured at Tritec Motors Ltd., DaimlerChrysler and BMW's 50-50 joint venture plant in Campo Largo, Brazil. Volumes have not been announced.
The European market also will get a four-cylinder, 2.2-liter diesel engine, which will be manufactured at the Mercedes-Benz plant in Unterterkeim, Germany.
Plans are to produce 50,000 PT Cruisers at Eurostar. To accommodate capacity, Eurostar will hire 500 more workers to work a two-shift schedule.
However, according to Gary Cash, managing director for the Eurostar plant in Graz, the automaker is discussing the possibility of increasing production. Cash said the Graz plant has the capacity to build more than 100,000 vehicles if it runs a three-shift schedule. The PT Cruiser went on sale in Europe last month.