The bid, which could create thousands of jobs for the area, has involved work from organisations across the whole of Wales.
It is hoped it will raise the profile of Wales in Europe, and encourage long term social, economic and cultural development.
The proposal was delivered to the Department of Culture, Media and Sport in London.
The European Council awards the title of European Capital of Culture to a different city every year.
In 2008, it is the UK's turn to compete for the accolade.
The award is designed to encourage cities to develop their cultural heritage, and is used to promote a greater awareness of the area's main attractions and traditions.
Rivals for the title include Bradford, Birmingham, Norwich, Edinburgh, Liverpool, Inverness, Newcastle and Gateshead and Milton Keynes.
The last British city to win the title was Glasgow in 1990.
Jobs created
Cardiff's bid is jointly funded by the council and the Welsh Assembly.
Cardiff will learn in the autumn if it has been shortlisted, with the eventual winner being named in spring 2003.
Putting together the bid has been far from plain sailing. In May last year, those reponsibile came under fire from the council's very own consultants.
In a report obtained by BBC Wales, McCann, Matthews, Millman highlighted a number of serious weaknesses in the city's cultural life, including the lack of a modern Welsh art gallery.
On top of that they criticised the absence of a cultural strategy and said Cardiff was late planning its bid, compared to its competitors.
Citing the example of Glasgow, Cardiff Chamber of Commerce said the city stands to substantially benefit economically and socially.
Cardiff Lord Mayor Russell Goodway said the bid will be "an opportunity to showcase the whole of Wales through its vibrant capital city".