The heated competition between two diesel engine producers to win a contract to build a turbodiesel V-6 for Ford Motor Co. appears to have come to a close, as a source says Ford likely will build the engine itself.

Ford wants a light-duty diesel for its pickups and SUVs because new diesel engines are efficient, quiet, loaded with torque and largely void of smoky exhaust.

New direct-injection common-rail diesels afford a 30% fuel-economy improvement over comparable gasoline engines — providing the potential to significantly improve corporate average fuel economy for Ford's thirstiest vehicles.

Ford was deciding whether to source a V-6 turbodiesel from International Truck and Engine Corp., which already produces the Power Stroke V-8 diesel for Ford's heavy-duty pickups, or from Cummins Inc., a primary diesel competitor with International.

But a supplier familiar with Ford's diesel development says neither Cummins nor International will build Ford's light-duty diesel, and that Ford most likely will develop and produce the powertrain itself.

Officials at Cummins and International decline comment, saying Ford has not informed them of its decision.