DO I NEED NEW ENGINE.

I know that the 2.0 SOHC is not an interference engine. I'm not sure about the 2.0 DOHC.

It sounds like you don't have the timing right. I tried replacing a belt on the SOHC 2.0 and had some problems getting it lined up.

CJB

Check your keyboard Caps Lock Key , check the crankshaft for breakage near the harmonic balancer / pulley. Recheck your timing belt installation, timing marks, tensioner, water pump etc.

Bill

Are the cams timed properly? The exhaust cam has a variable timing mechanism that can give grief (I don't do much "gas" engine work).

And even the sohc HAS been known to bend valves. Another problem on those engines is dropped valve seats. (not sure if it was the 1.9 SEFI or the 2.0)

I also think that you put the new timing belt on wrong.

Check and make sure that the water pump is not seized. If it is not turning freely, it may destroy the drivebelt if/when the engine does start, and it may also make the engine seem as though valve damage has occured when it in fact has not. As others have pointed out, this may be a cause of the timing marks not properly aligned when you reinstalled the new belt.

Good luck, Sharky

Why was it driving down the highway?

Have it towed to a mechanic who knows what he is doing.

And drop the CAPS. CAPS is considered shouting and is rude.

Jeff

Did you time the crankshaft & camshaft properly ?

The 2.0 DOHC is listed br Ford as a non-interference engine. However, in the real world valve and piston damage often does happen if the timing belt gets very sloppy or breaks. Recheck your valve timing, as others have mentioned. If the engine still runs badly, a compression test can help to determine if there is valve damage.