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Exhaust Gas Recirculation (EGR) is being used widely to reduce and control the oxides of nitrogen (NOx) emission from diesel engines. EGR controls the NOx because it lowers oxygen concentration and flame temperature of the working fluid in the combustion chamber.
The EGR valve, or Exhaust Gas Recirculation valve, is a vacuum controlled valve which allows a specific amount of your exhaust back into the intake manifold. This exhaust mixes with the intake air and actually cools the combustion process. Cooler is always better inside your engine.