N5 306 Series II

Although visibly similar, the many changes Peugeot wrought to the N5 306 included a beefier body, a new nose and tail, revamped cabin, revised drivetrains and improved electronics.

“Style” replaced the XR hatch, XR sedan replaced the SR and ST, the diesel disappeared but the XT hatch designation remained.

An 84kW twin-cam 16-valve 1.8 engine powered manuals the autos persisted with the old 77kW 1.8 unit.

Meanwhile, the XSi 2.0’s power jumped to 100kW and an exciting 124kW six-speed manual GTI-6 usurped the S16. A 67kW XRDT diesel sedan in early ’99, but was replaced by the better-equipped XTDT in August ‘99.