We put a new exhaust on my friends 87 300SDL.. 2.5" straight pipe from the turbo all the way back. It sounds great and the power comes on quicker and much longer thru the revs.

The sound is ridiculous.. we will probably add a free flowing muffler at some point to tone it down.

This is a quick video of the car..

http://www.crazymatt.org/badbenz.wmv

right click, save-as. 12MB

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Matt
2003 Jetta Wagon TDI 145,000MI
1999.5 Jetta TDI 287,000MI
2001 Suzuki SV650S 26,000MI
2008 Yamaha Vino 125 11,000MI
http://www.crazymatt.org