An internal combustion engine (ICE) is defined as a device which converts chemical energy of fuel into thermal energy by means of combustion process which takes place in presence of an oxidizer (usually air), and later this very thermal energy gets converted into mechanical energy, which is the required output. But the problem is that, only one third of the total energy given out by fuel gets converted into useful work, whereas the rest two third of the total energy is wasted through exhaust gas, cooling system and lubricating system. So we can infer that in a conventional engine, a large percentage of energy is wasted unused. To overcome these losses, combustion chamber parts like cylinder head, piston crown, inlet and exhaust valves are coated with ceramic materials, without modifying any of the original dimensions. Experiments performed by various researchers have shown that there are drastic changes in overall performance of the engines those are coated with ceramics. Results revealed that heat loss to cooling water gets reduced, thermal efficiency increases, specific fuel consumption reduces, and other emission characteristics also get altered. Zirconia is considered to be the most perfect ceramic to be coated for engines.