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In this paper, emissions reduction technologies applied to high-speed direct injection (HSDI) diesel passenger car engines to meet the stricter exhaust emission legislation are described. To reduce smoke, the F.I.E. has been improved by using a radial-piston distributor pump which delivers fuel-injection-pressure up to 120MPa. Cooled exhaust gas re-circulation (EGR) system and increase in volume ratio of the combustion chamber has made it possible to increase EGR ratio and reduced nitrogen oxides (NOx) and smoke simultaneously. Furthermore, improvements in the oxidation catalyst activating temperature reduces PM at lower exhaust gas temperatures. As a result of applying these technologies, a clean and economical HSDI diesel engine for passenger cars, which complies with Japanese '98 exhaust emissions legislation and has better fuel economy than indirect injection (IDI) diesel engines (above 15%), has been developed.