Vehicle routing problem (VRP) is a well-known combinatorial optimization and nonlinear programming problem seeking to service a number of customers with a fleet of vehicles. This paper proposes a hybrid particle swarm optimization (HPSO) algorithm for VRP. The proposed algorithm utilizes the crossover operation that originally appears in genetic algorithm (GA) to make its manipulation more readily and avoid being trapped in local optimum, and simultaneously for improving the convergence speed of the algorithm, level set theory is also added to it. We employ the HPSO algorithm to an example of VRP, and compare its result with those generated by PSO, GA, and parallel PSO algorithms. The experimental comparison results indicate that the performance of HPSO algorithm is superior to others, and it will become an effective approach for solving discrete combinatory problems.