When you say you're getting no other diagnostic codes, does that mean also on port 2 for the ECU? When a 1-4-3 code is set on port 6, a similar knock sensor code of 3-1-2 is often set by the ECU on port 2 if the knock sensor signal being passed to it from the igntion controller is missing or faulty.
The ignition controller doesn't test the knock sensor signal until it reaches 3,000 rpm (and under load say my old notes), which is why you're getting that delayed behaviour. Once a fault is declared the code is set and the system remains in a fail-safe mode under load with the ignition retarded and the mix enriched until the code is reset, which also agrees with your perpetually sluggish running symptoms.
Did you use a torque wrench? The knock sensor should only be moderately tightened. It may be oversensitive if overtorqued and even be damaged if excessively torqued. The torgue spec for the early Type 1 flat topped sensor is 8 ft-lbs and for your Type 2 dome topped sensor is 15 ft-lbs. It's probably not that critical as long as you stay under say 18-20 ft-lbs, which isn't a lot. Some red block engines also have a similar connector on a nearby block temp sensor, so you'd want to check the wire colors if that's the case.
The 1-4-3 code set by the ignition controller on port 6 is for a missing or completely faulty knock sensor signal. It is not an indicator of excessive knock. It's often set for a failed or disconnected sensor, but in your case with the code still being set with a new sensor then I would be highly supicious of a faulty wiring connection or a faulty ignition controller. After inspecting the connector, I'd want to follow the wires up to the main connector block and make sure the pins there are pushed in from the back and properly seated -you may need a proper Volvo wiring diagram if you can't trace it back yourself.
Following that, there are electrical checks you can do probing at pins on the sides of the ignition and ECU connectors. For further reference, see TP31397 Ignition Systems and TP31361 LH2.4 Fuel System part of Section 2 of the Volvo 700 Service Manual Fault Tracing and Repairs which can be found here at https::/www.ozvolvo.org/archive. The EZ-116K system used in the later 700s should be the same as in your 1992 240 apart from things like fuses and some of the wire colors.
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Dave -still with 940's, prev 740/240/140/120 You'd think I'd have learned by now
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