Suzuki Philippines will release a 1.2-liter engine variant of its Swift hatchback in 2014 according to a very reliable source.

Currently the Japanese automaker offers the Swift hatchback with a 1.4-liter VVT engine for the Philippine market, mated to either a 5-speed manual transmission or a 4-speed automatic.

Other Asian markets offering the Swift with a 1.2-liter engine are Thailand and India; Thailand produces the Swift through the Thai government’s eco-car program which gives favorable incentives to vehicles with low displacement meeting certain requirements. The Thai version gets either a CVT or 5-speed manual.

Earlier this year, Suzuki released a sedan version of the Swift; the Maruti-Suzuki India developed Swift Dzire. The notchback version is fitted with the same KB12 1.2-liter VVT engine mated to a 5-speed manual with minimal features and is sold as Suzuki’s entry level sedan.

The 1.2-liter Suzuki Swift will reportedly be priced at PhP650,000, according to our source.