For a main purpose of development of the heat insulated turbo compound engine using the ceramics, the Isuzu Ceramics Inst. Co., Ltd. was established by the Isuzu Motors Ltd. in 1988. The main study subjects take up various topics such as a development of the new engine system for actualizing a low fuel consumption and low emission, an improvement of deteriorated combustion caused by the insulation, a development of energy recovery facility for utilizing effectively the exhaust energy from the engines, a development of power electronics technology for controlling the recovery facility, a study and development of ceramics as the insulation material and so forth. The outstanding characteristics of this institute are that a development of the heat insulated turbo compound engine is set as the main study subject, but at the same time that a commercialization of the various derivation technology derived from this study. Even just the main study subjects currently under way are counted up to a number close to 10 items, and consequently the efforts are being continued in each field assigned for solving the subjects. 6 figs.