Caterham Cars’ soon-to-be-released, all-new entry-level Seven will be powered by a 660cc, three-cylinder turbocharged engine manufactured by Suzuki Motor Corporation – the smallest and most efficient engine ever installed in a Seven.

The ultra-efficient, downsized engine matched with an equally compact Suzuki five-speed gearbox, has been adapted by Caterham Technology & Innovation (CTI) – Caterham Group’s engineering division – to complement a re-engineered chassis, which also harks back to the spirit of former Sevens with major revisions to the suspension layout.

The powertrain specialists at CTI have fine-tuned the engine to suit the highly dynamic Seven, resulting in a car capable of strong performance while delivering vastly improved fuel economy and reduced vehicle emissions.

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Priced under £17,000, the new model will be launched in Autumn this year, with first deliveries expected before the end of 2013.

Suzuki said: “It has been a very interesting and unique project for us. We trust that supplying our powertrain to Caterham with a respected reputation for building lightweight, low-volume sportscars will enhance our ‘sporty’ brand image.”