PSA Peugeot Citroën first signaled its penchant for diesel hybrids when it unveiled the sleek Citroën Hypnos crossover concept (above) at the 2008 Paris Auto Show. The decision to stress-test the propulsion system by racing the Peugeot 908 HDi FAP "Hy" at the upcoming Le Mans further solidified notions that diesel-hybrids could soon enter the mainstream.

Yesterday the French car maker finally made it official, announcing that it would produce a hybrid-diesel MPV based on the Citroën Hypnos and Peugeot Prologue (above) concepts in a partnership with Bosch - the industrial and tech giant. According to Edmunds Inside Line, "Bosch will supply Peugeot with electric motors and the electronic systems for PSA Peugeot Citroën's four-wheel-drive diesel hybrids," expected to produce 200 hp and appear and showrooms starting in 2011.