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An enhanced low-cost 2D vehicular navigation solution is described, which involves a reduced inertial sensor system (RISS) and a global positioning system (GPS). Micro-electro-mechanical-system based inertial sensors are used in the research owing to their low cost, low power consumption and small size. To improve the overall accuracy even in GPS-denied environments, fast orthogonal search (FOS) is introduced to augment Kalman filter (KF)-based RISS/GPS integration. By modelling and reducing system errors, the proposed KF/FOS module offers significant improvements to the navigation performance as demonstrated by road tests on a land vehicle.