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That is not the "bluetec" diesel in the MB, but the CDI. The E320 that comes in 2007 will drop the CDI suffix in favor of Bluetec. Even with this, the new Bluetec diesel V-6 doesn't use urea injection; it therefore cannot meet emissions standards in CA and other similar states. The urea-injected Bluetec diesel with debut in the GL, R, and ML class, which would all be 50 state compliant in 2008. Still, an improved engine, if you don't happen to live in CA.
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