Iveco has started production of new advanced diesel engine Cursor 8 in 1998. In 1999 this was followed with the new Cursor 10 engine which reaches a maximum power of 316 kW with a displacement of 10,3 dm3 and continuous the strategy of developing high BMEP engines which Iveco began more than 10 years ago. This approach shows the benefits of reduced noise, weight and fuel consumption in trucks in comparison to engines having a larger cylinder capacity with the same power. Together with the engine, Iveco introduces an electronic control system with full authority on every operating condition, realising a true drive-by-wire mode of truck operation.The control of fuelling, boosting, braking and cold starting gives the driver full comfort and guarantees that the engine produces optimum performance under every circumstance. An advanced diagnostic system warns about deviations from acceptable operating conditions or fault occurrences. Advanced technologies have been extensively used in the new engine, like variable geometry turbocharger, high pressure unit injectors mechanically driven by an overhead camshaft, decompression brake, fibre filters and advanced casting technologies. It further features 4 valves per cylinder, wet liners and the gear train is arranged at the rear of the engine. The paper presents, besides the engine design features and performance achievements, the advanced methods employed during the development phase both in Iveco and by suppliers.Currently the future European emission legislation for EURO 4 Step 1 (year 2005) and EURO 4 Step 2 (2008) are in discussion. Proposed are extreme low particulates standards of 0,02 g/kWh and for EURO 4 Step 2 a nitrogen oxide standard of 2 g/kWh. Therefore, strategies to comply with such emission levels are discussed. The key advantage of the diesel engine with respect to its high efficiency must be maintained. Whereby also the use of advanced exhaust gas aftertreatment has been evaluated and results are presented.