What a lot of North American's don't know is that the reason diesels are so popular in Europe is political. Europe put a bounty (tax) on Carbon emissions but not on Nitrogen Oxides. Granted, this was done before we knew that NOx is a key contributer to acid rain, which has been killing the remaining forests in Europe. It's far easier to reduce carbon emissions from a diesel, but at the cost of more NOx emissions. Now that Europe is starting to realize that NOx is just as bad as COx, I think we will see the end of the diesel dominance in Europe as well. In fact, Europe is in may ways a better environment for electric cars - far less distances to travel. This is why Audi has chosen to focus on electric and hybrid vehicles. VW also stated they will be taking the Audi technology and use it across the board once the costs come down.