Towards the end of 1968 a 1255 cc diesel engine option became available for the 204 estate and fourgonette (van) versions. It is the smallest diesel engine fitted in a commercially available car anywhere in the world.
A 8hp Comfort model is added to the 404 range, having an identical 1,468 cc engine displacement to the old 403 (although the engine is not from the 403, but derived from the larger XC6 unit). It is an economy model, fitting into a lower French puissance fiscale (road tax) class than the 9 CV version. It has the old dashboard and bumpers without over riders. This is also the first 404 model fitted with front disc brakes.
Reversing lamps are fitted to 404 Super Luxe. New gearbox with European grid (BA7) fitted on all models in place of "C3" box. New steering wheel and dashboard modified.
504 made its public debut on 12 September 1968 at the Paris Salon.

Zwycięstwo (Nowicki/ Cliff) w Rajdzie Safari (404).

Peugeot 404 na mecie zwycięskiego Rajdu Safari.