Alloy Head II engines
The six-cylinder engines, which had benefited from the fitting of alloy cylinder heads midway through the XD model run, were further updated for the XE. Now dubbed Alloy Head II, the revised engines were fitted with a twin-venturi Weber 34 ADM carburetor, which gave improved performance,[3] and a viscous clutch fan, which reduced power losses.[4]
Compared to the previous XD Falcon, quoted DIN output had increased from 84 kW to 90 kW for the base model 3.3 litre engine, and from 94 kW to 105 kW for the high-compression variant of the 4.1 litre engine.
Fuel economy also improved, and for models equipped with the 3.3 litre engine, Ford offered the option of a new 5-speed manual transmission.[2] Whereas Ford had claimed AS 2077 fuel consumption of 8.5 L/100 km highway cycle and 13 L/100 km urban cycle for XD sedans equipped with a 3.3 litre Alloy Head engine and 4-speed manual transmission,[5][6] it now claimed 7.5 L/100 km highway cycle and 12.5 L/100 km urban cycle for the 5-speed manual-equipped XE sedan.[7] For the more popular combination of 4.1 litre engine and 3-speed automatic transmission, economy improved from 10 to 9.5 L/100 km highway cycle, and from 14 to 13.5 L/100 km urban cycle.[6][7]
The 3.3 litre engine accounted for more than 18 per cent of XE Falcon car production and 37 per cent of the commercial vehicle variants[8] with the 4.1 litre engine accounting for the vast majority of the balance.
End of local V8 production
Sales of V8-powered Falcon models had declined significantly during the previous decade. While 30 per cent of XA Fords had been fitted with a V8, just 5 per cent of the 66,849 XE models produced during 1982 had V8 power.[9]
In the face of dwindling sales, Ford decided to end its local manufacturing of the 'Cleveland' V8 and market the Falcon range exclusively as six-cylinder cars. On 25 November 1982, a silver 302 cuin Ford Fairmont Ghia ESP sedan, VIN # JG32AR33633K, was fitted with a commemorative plaque on its dashboard that recorded the end of a fifty year era of V8-powered Ford passenger cars.[10]
In hindsight, Ford ended V8 production just as petrol prices, which had spiked following the 1979 oil crisis, were starting to ease. Motoring journalists have suggested that Ford effectively handed the local performance market to rival Holden, which continued to offer V8-engined cars.[3][11]
Introduction of EFI option
An EFI version of the 4.1-litre engine was introduced in February 1983,[2] incorporating Bosch Jetronic LE fuel injection.[13] While it was intended to replace the now-defunct 302 cuin V8, the 4.1 EFI engine initially produced only 111 kW and 325 Nm, a significant reduction from the 140 kW and 344 Nm produced by the V8.[4] Ford marketed the new EFI engine based on its strong torque characteristics,[13] declaring that it, "offered virtually the same performance as the 4.9 litre V8 but with substantial savings in fuel consumption".[12] Promotional literature demonstrated how the long-wheelbase Fairlane variant equipped with the EFI engine was only 0.1 seconds slower than the previous 4.9 L model in accelerating to 60 km/h when carrying five passengers and towing a 1590 kg trailer.
Transmissions
Manual transmission was available in 3-speed column shift and in the more common 4-speed floor shift, as well as the new 5-speed floor shift. The automatic transmission was a floor-shifted 3-speed in 5-seater configurations or with a column-shift in 6-seater models. Automatic was more common than manual, even though it was at extra cost in the GL and lesser range of vehicles.