I think the 240 has a lower rear end than the 300 non-turbo based on the shift marks on the speedo and the top speed -- top speed is about 85 on the 240 and 95 on the 300, indicating a different rear end.

Diesels are notriously low on torgue at low engine rpm. At least you didn't stall it and get it running backwards!

Find the correct rear end and swap it out. Shouldn't stall on a steep ramp like that. The manual tranny doesn't help, either, no slip.

Peter

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1972 220D ?? miles
1988 300E 200,012
1987 300D Turbo killed 9/25/07, 275,000 miles
1985 Volvo 740 GLE Turobodiesel 218,000
1972 280 SE 4.5 165, 000 - It runs!