The all-new SZ 2011 Ford Territory has finally arrived after months of build up and anticipation. With it comes the first application of a diesel engine for an Australian-built SUV.

Since the launch of the first-generation in 2004, more than 107,000 Ford Territorys have been sold Australia wide, making it one of the most successful models ever built by Ford Australia. Back then the market demand for diesel SUVs wasn’t significant enough to convince Ford to offer a diesel variant. Fast forward seven years and about half of all SUVs sold in Australia are now diesel-powered.

Finally then, it’s here. A Ford Territory Diesel. Borrowed from Ford’s European operations, the diesel Territory is powered by a 2.7-litre TDCi V6 turbo-diesel engine (140kW and 440Nm).

The first thing you’ll notice about the new Territory is its looks. From the front it very much sports European styling characteristics and modern headlights. The wide-open grille and muscular stance is a big change from the outgoing model’s relatively inoffensive look.

The interior is where a lot of the work has been concentrated. Despite the overall similarity with the Falcon, the Territory is equipped with a top-notch entertainment system that supports Bluetooth phone and audio connectivity, native iPod/Phone support, easy to use menu systems as well as a built in sat-nav system (Titanium only) that will even work out the ‘greenest’ route for you (based on CO2 emissions).

Unlike other SUVs which are built for overseas markets and then retuned (if we’re lucky) for Australian roads, the Ford Territory is built and tuned for our roads and driving style from the ground up. It’s not exported anywhere so all engineering work and resources are spent on making it the best suited vehicle it can be for its local market.

To start with, the diesel engine is a welcome addition. Its 440Nm of torque pull from 1900rpm, allowing for impressive driveability. Better yet, thanks to an extensive improvement in NVH (noise, vibration and harshness) you can hardly hear the thing. In fact, when idling, a clutch mechanism housed inside the transfer case will decouple any driving forces being pushed onto the front drive shafts. This means little noise when stopped at a set of lights.

The diesel engine is coupled to Ford’s 6R80 six-speed automatic transmission, which is essentially a ZF six-speed (found in the petrol variants) but modified to work with the diesel engine.

The all-wheel drive diesel is as stable as you can imagine. It effortlessly pushes power to all four wheels and never once felt unstable during our test, even on wet roads. For the section of dirt road we swapped to a rear-wheel drive diesel to find out if Ford Australia had done all its homework. Once behind the wheel of the rear-wheel drive, it’s actually hard to make an argument for the all-wheel drive variant given how good the RWD diesel is. Sure it won’t go on a beach or do the occasional off-roading, but if that’s never going to happen for you, the RWD diesel is an excellent choice.

Pushing hard at 110km/h into corners on a dirt road, the Territory’s ESP system stayed out for as long as possible and corrected any momentary slide at the rear wheels with small adjustments. There is hardly any intrusion from the nanny-computers unless absolutely necessary and any minor slide can be fixed within milliseconds. The RWD diesel feels lively and more willing to play when pushed. On a normal road it’s just as stable as its AWD brother. For the everyday driver, it will be difficult to tell the two apart on a dry bitumen road.

However, if one is buying the Territory for towing (which many do), the AWD diesel has a towing capacity of 2700kg (when equipped with a heavy-duty tow pack), which is 400kg more than RWD petrol and diesel.

On the highway the diesel Ford Territory is very well behaved. It can overtake with ease and also cruise along comfortably. As mentioned before, cabin noise is so low that driving along the highway at 100km/h you can hear your passenger whispering – not something we’re used to in a vehicle under $100,000.

The Diesel variant impressed us more, not just for fuel economy (8.2 vs 10.6L/100km) but also because of the superior driving dynamics, the torque from down low and overall better experience behind the wheel. Think of it this way, the diesel Territory RWD can do 1000km on a single tank of diesel (75L), so that’s a trip from Brisbane to Sydney with the whole family for about $120 (diesel calculated at $1.60/L).

Two factors stood out the most from the drive program for all variants of the new Ford Territory: the ride and handling, and cabin noise. It can be said without doubt that the 2011 Territory is by far the best suited SUV to our local roads. It’s comfortable, quiet, confident and well planted on pretty much any surface you can throw at it. Interior cabin noise is top-notch and will shame even a few European marques. If anyone doubts the engineering ability of Ford Australia, a simple test drive of the new Territory will more than likely change your mind.

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Source: Alborz Fallah, Car Advice