ACTUALLY......that is not quite correct

Although the engine in question is no doubt a 1.6TD, Volkswagen has in fact been in the business of making 1.6TDI engines for a few years now....
1.6 R4 16v TDI CR 55-85kWidentification
engine configuration & engine displacement
inline four-cylinder (R4/I4) Turbocharged Direct Injection (TDI) turbodiesel; 1,598 cubic centimetres (97.5 cu in); bore x stroke: 79.5 by 80.5 millimetres (3.13 in × 3.17 in), stroke ratio: 0.99:1 - 'square engine', 399.5 cc per cylinder, compression ratio: 16.5:1
cylinder block & crankcase
grey cast iron; five main bearings, die-forged steel crankshaft
cylinder head & valvetrain
cast aluminium alloy; four valves per cylinder, 16 valves total, double overhead camshaft (DOHC)
aspiration
turbocharger, intercooler, water-cooled exhaust gas recirculation (EGR)
fuel system & engine management
common rail (CR) direct injection (DI) with eight-nozzle output piezo element injectors, rail pressure up to 1,600 bars (23,210 psi), European EU5 emissions standard
DIN-rated motive power & torque outputs, ID codes
55 kilowatts (75 PS; 74 bhp) @ 4,000 rpm; 195 newton metres (144 ft·lbf) @ 1,500-2,500 rpm — CAYA (Polo and Fabia only)
66 kilowatts (90 PS; 89 bhp) @ 4,200 rpm; 230 newton metres (170 ft·lbf) @ 1,500-2,500 rpm — CAYB
75 kilowatts (102 PS; 101 bhp) @ 4,400 rpm; 250 newton metres (184 ft·lbf) @ 1,500-2,500 rpm — CAYD (Caddy only)
77 kilowatts (105 PS; 103 bhp) @ 4,400 rpm; 250 newton metres (184 ft·lbf) @ 1,500-2,500 rpm — CAYC
85 kilowatts (116 PS; 114 bhp) @ 4,400 rpm; 250 newton metres (184 ft·lbf) @ 2,000-2,500 rpm — CEKA (Mexico only)[citation needed]
applications
SEAT Ibiza Mk4, SEAT Ibiza Mk5, SEAT León Mk2, SEAT Altea, SEAT Altea XL, Škoda Fabia Mk2, Škoda Octavia Mk2, Volkswagen Polo Mk5, Volkswagen Golf Mk6, Volkswagen Golf Plus, Volkswagen Golf Variant, Volkswagen Touran, Audi A1, Volkswagen Caddy
reference
"VW presents new 1.2 litre TSI and 1.6 litre TDI engines for Golf and Polo". WorldCarFans.com. Volkswagen AG. 13 May 2009.
http://www.worldcarfans.com/10905131...-golf-and-polo. Retrieved 28 December 2009.