A novel palladium promoted Ag/Al 2 O 3 catalyst (denoted Ag-Pd/Al 2 O 3 ) has been developed for the selective catalytic reduction of NO by C 3 H 6 . The Ag-Pd/Al 2 O 3 shows a higher NO x conversion than Ag/Al 2 O 3 , especially at the temperatures ranging from 300 to 450 • C. The addition of a small amount of Pd (0.01 wt.%) to Ag/Al 2 O 3 is considered to be favorable for the partial oxidation of C 3 H 6 . In situ diffuse reflectance infrared Fourier transform spectroscopy (DRIFTS) suggest that the presence of Pd catalyzes the formation of enolic species which is converted from C 3 H 6 . The enolic species is very active towards NO 2 and NO 3 − , resulting in the formation of -NCO species which is the key reaction intermediate in the selective catalytic reduction of NO.