The Type VC2 retained a single cylinder 1,045 cm³ four stroke engine, mounted ahead of the driver.

For this model Lion-Peugeot offered a wider range of open and closed body types than hitherto, including a Phaeton, a Landaulet, a Limousine and a small delivery van.

Ten years earlier the automobile pioneer Armand Peugeot had split away from the family business after a long-standing disagreement over how intensively the company should diversify into larger scale automobile production.

In any event, under a new agreement signed in 1905, the residual Peugeot business made Armand an annual payment in return for which Armand consented to the residual business itself producing motor cars under the “Lion-Peugeot” name.

The arrangement continued until 1910 after which (the death of Robert Peugeot’s father Eugène having apparently removed a major impediment to the idea) the Lion-Peugeot business and the Peugeot automobiles business were merged into a single company.