Acute respiratory distress syndrome (ARDS) is a severe clinical condition marked by acute respiratory failure and dysregulated inflammation. Pulmonary vascular endothelial cells (PVEC) function as an important pro-inflammatory source in ARDS, suggesting that modulation of inflammatory events at the endothelial level may have therapeutic benefit. Dipeptidyl peptidase-4 (DPP4) inhibitors, widely used for the treatment of diabetes mellitus, have been reported to have possible anti-inflammatory effects. However, the potential anti-inflammatory effects of DPP4 inhibition on PVEC function and ARDS pathophysiology are unknown. Therefore, we evaluated the effects of sitagliptin, a DPP4 inhibitor in wide clinical use, on LPS-induced lung injury in mice and in human lung endothelial cells (EC) in vitro. In vivo, sitagliptin reduced serum DPP4 activity, BAL protein concentration, cell number and pro-inflammatory cytokine levels, after LPS, and alleviated histological findings of lung injury. LPS decreased the expression levels of CD26/DPP4 on pulmonary epithelial cells and PVEC isolated from mouse lungs, and the effect was partially reversed by sitagliptin. In vitro, human lung microvascular EC (HLMVEC) expressed higher levels of CD26/DPP4 than human pulmonary arterial EC. LPS induced release of TNFα, IL-6, and IL-8 by HLMVEC that was inhibited by sitagliptin. LPS promoted proliferation of HLMVEC, and sitagliptin suppressed this response. However, sitagliptin failed to reverse LPS-induced permeability in cultured EC or lung epithelial cells in vitro. In summary, sitagliptin attenuates LPS-induced lung injury in mice and exerts anti-inflammatory effects on HLMVEC. These novel observations indicate DPP4 inhibitors may have potential as therapeutic drugs for ARDS.