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Metallurgy and design on engine blocks has advanced tremendously over the years, I doubt we'll get back to the bad old days of the Vega(or more recent GM engine disaster, the Northstar V8).
Agreed, but diesel engines put far more everyday stress on the blocks and internals than anything the aluminum Vega engine usually had to face over 40 years ago. The Vega in-line four only had problems when it overheated and the aluminum block and iron heads expanded and warped at different rates.
Plus I think GM is a much better run company post bankruptcy, poorly engineered BS doesn't fly out the door like it once did.
They are certainly producing better overall vehicles post-bankrupcy. But the brass is still making some (IMO) dumb decisions, like dumping Holden and Opel (the source of a number of their better vehicles and design-talent), dumping the Verano from the American market when it actually outsold the Regal (which they are keeping), putting the (IMO) annoying and awkward E-shifters into several of their newer designs, and not building the Holden-Chevy SS in large enough numbers to compete with the Dodge Charger. And they have really messed up Cadillac by trying to turn the Division in an American BMW.
I do think the diesel Cruze, though, might make sense if it can steal some customers away from VW, especially now that VW has a temporary hold on American-market diesels.