It can be combined with either a six-speed manual transmission or the VW Group's 7-speed dual-clutch DSG transmission.
"This brand new TSI engine provides a unique opportunity of combining environmental friendliness with a well-balanced driving performance," says Skoda Auto BOD Chairman Reinhard Jung. "With substantially lower CO2 figures, this new engine needs to be seen as a contribution to a significant reduction of average emission volumes in our cars."
The new powerplant makes its Skoda debut in the new Yeti compact SUV, and is also offered in various Audi, Volkswagen and Seat vehicles.