BACKGROUND: Although fine airborne particulate matter (PM) has been known to play a role in many human diseases, there is no direct evidence that therapeutic drugs or proteins can diminish PM-induced diseases. Nevertheless, studies examining the negative control mechanisms of PM-induced diseases are critical to develop novel therapeutic medications. RESULTS: We found that CLB2.0, a surrogate for PM, induced production of multiple cytokines that alter airway inflammation. Interestingly, deletion of each PDZ domain in the ZO-1 protein dramatically decreased F-actin formation and increased the expression of genes for pro-inflammatory cytokines. We also found that the consensus PDZ peptide in ZO-1 downregulates the expression of pro-inflammatory cytokine genes and F-actin formation; in contrast, the GG24,25AA mutant PDZ peptide upregulates them. Moreover, CLB2.0-induced F-actin formation in 2D and 3D matrix cultures was significantly inhibited by PDZ peptide, but not by the mutant peptide. Induction of IL-8 secretion by CLB2.0 activates CXCR2 signaling, while increased RGS12 controlled by the PDZ peptide inhibits IL-8/CXCR2 signaling. The consensus PDZ peptide also inhibited CLB2.0-induced inflammatory cell infiltration, pro-inflammatory cytokine gene expression, and TEER in bronchoalveolar lavage (BAL) fluid and AM cells. CONCLUSIONS: Our data indicated that the PDZ domain in ZO-1 is critical for regulation of the CLB2.0-induced inflammatory microenvironment. Therefore, we suggest that the PDZ peptide may be a potential therapeutic candidate during PM-induced respiratory diseases.