The history of the Ford Mustang II

   

The 1970s brought about more stringent pollution laws and the 1973 OPEC oil embargo. As a result, large, fuel-inefficient cars fell into disfavor, and the Pony Cars were no exception. Lee Iacocca, who became president of the Ford Motor Company in 1964 and was the driving force behind the original Mustang, ordered a smaller, more fuel-efficient Mustang for 1974. Initially it was to be based on the Ford Maverick, but ultimately was based on the Ford Pinto subcompact.
The new model was introduced two months before the first "Energy Crisis" in October 1973, and its reduced size allowed it to compete more effectively against smaller imported sports coupés such as the Japanese Toyota Celica and the European Ford Capri (then Ford-built in Germany and Britain, sold in U.S. by Mercury as a captive import car). First-year sales were 385,993 cars, compared with the original Mustang's twelve-month sales record of 418,812.
Lee Iacocca wanted the new car, which returned the Mustang to more than a semblance of its 1964 predecessor in size, shape, and overall styling, to be finished to a high standard, saying it should be "a little jewel." However not only was it smaller than the original car, but it was also heavier, owing to the addition of equipment needed to meet new U.S. emission and safety regulations. Performance was reduced, and despite the car's new handling and engineering features the galloping mustang emblem "became a less muscular steed that seemed to be cantering."
The car was available in coupé and hatchback versions. Changes introduced in 1975 included reinstatement of the 302 CID V8 option (called the "5.0 L" although its capacity was 4.94 L) and availability of an economy option called the "MPG Stallion". Other changes in appearance and performance came with a "Cobra II" version in 1976 and a "King Cobra" in 1978.
The second generation Mustang arrived in 1973, just in time for the global fuel crisis!. The new Mustang was considerably smaller than the original car and came with the option of a smaller four cylinder engine along with the normal six and V8 options.
The Mustang had softer styling than before and there was no convertible version available. The Mustang had lost all of its original endearing qualities but this did not prevent more than 1,100,000 examples being built from 1973-1978.

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