The 908 programme was Peugeot Sport's return to Le Mans prototype racing for the first time since the end of the Peugeot 905 project in 1993. Development began in 2005 and the car was publicly unveiled on 15 June 2006. The designation "908 HDi FAP" encodes the car's character: 908 follows Peugeot's 90x numbering series for racing cars; HDi stands for High Pressure Direct Injection; and FAP — from the French "Filtre à particules" — denotes its diesel particulate filter.
New ACO rules announced in June 2006 encouraged closed-cockpit Le Mans Prototypes, and Peugeot embraced that direction fully. The 908 became the first LMP to race with a closed cockpit since the Bentley Speed 8, adopting the layout for the aerodynamic and structural advantages it offered despite the additional regulatory requirement to fit air conditioning.
The 908's chassis is a carbon fibre monocoque — rather than the conventional open structure — for greater rigidity and lower weight. Electrically powered steering, BBS magnesium wheels, and a linked front and rear suspension system rounded out the chassis package. The car measures 4.65 metres long by 2 metres wide and weighs a minimum of 925 kg.
The V12 diesel engine is configured at a 100-degree bank angle, chosen specifically to lower the centre of gravity. It displaces 5.5 litres — the maximum permitted under Le Mans Prototype rules — and produces over 730 hp alongside 1,200 Nm of torque, approximately 10 percent more torque than the Audi R10 TDI. The electro-pneumatic gearbox, designed and built by Ricardo, is longitudinal with up to six ratios, and the differential is self-locking.
In 2009 Peugeot also developed the 908 HY, a hybrid variant adding an 80 hp electric motor powered by 600 lithium-ion batteries. The motor could provide extra drive for approximately 20 seconds, or power the car alone through the pit lane with the diesel switched off. The hybrid system added around 45 kg over the standard car.
The 908 debuted at the opening round of the 2007 Le Mans Series at Monza, taking first and third places. Over the season the twin-car squad dominated the LMS, but at Le Mans itself the Audi R10 TDIs proved faster on the straights and more stable in the corners. The number 8 Peugeot finished second to the Audi after 359 laps; the number 7 car retired in the final hour with engine failure. Peugeot recovered after Le Mans to win four of the remaining LMS rounds, with the number 8 car claiming the LMP1 teams' championship.
Peugeot expanded the programme to include Sebring, and faced two Audi R10s in the Le Mans Series for the first time. Three 908s were entered at Le Mans, where the car was capable of lapping roughly 7 seconds faster than the R10. Despite the pace advantage, lengthy pit stops and instability in the wet handed the race win to Audi. A late-season accident at Silverstone damaged both 908s and allowed Audi to claim the LMS drivers, teams, and constructors championships, titles Peugeot had led all season.
Four 908s were entered at Le Mans — three by the factory and a 2008 chassis by Pescarolo. Cars number 9 and 8 crossed the line first and second, 16 years after Peugeot's previous Le Mans victory in 1993. All three factory cars completed a formation finish, crossing the line in close order. The win also came against Audi's newer R15 TDI.
Peugeot scored a 1-2 at the 2010 12 Hours of Sebring, their first Sebring victory. At Le Mans, however, all four Peugeots — three factory cars and an Oreca-run example — retired. Post-race analysis identified a suspension mounting failure on the pole-sitting number 3 car and titanium connecting rod failures in the three remaining cars. Audi's revised R15 TDI swept the podium and broke the distance record. Elsewhere in 2010, Peugeot won at Silverstone, Spa, and Zhuhai, and secured the Le Mans Series and ILMC LMP1 championships.
Oreca ran the 908 HDi FAP for one final season under the new 2011 LMP regulations, winning the 12 Hours of Sebring and finishing fifth at Le Mans behind the new factory Peugeot 908s. The 908 family's competition career ended when Peugeot withdrew from motorsport in 2012. Over its five-year career, the 908 HDi FAP established diesel's dominance at the top of endurance racing and won Peugeot its most recent Le Mans victory.