The battle in the European city-car segment is really heating up as two French firms have simultaneously released their newest proposals, including Renault with the new rear-drive Twingo, and Peugeot with the 108, both of which will celebrate their grand premiere at the Geneva Motor Show in March.

And it’s far from over yet, as the Renault Twingo is a sibling to Daimler’s upcoming Smart ForFour, while the Peugeot 108 that we see here for the first time on video is part of a common project with Citroen and Toyota, which will soon reveal their related replacements for the C1 and Aygo respectively.

Unlike Renault and Smart, the PSA Group and Toyota co-developed trio of models stick to the tired and tested front-engine, front drive formula, with the 108 to offer two three-cylinder petrol-engine choices at launch, a 68hp 1.0L and a 82hp 1.2L.

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