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The Story of the Slow and Ugly Mustang II, the Nameplate's Unsung Hero

As part of our Mustang Month celebration, we remember the second-generation model. It was slow, ugly, and grossly underpowered, but it became a commercial success that helped keep both Ford and the Mustang brand alive during the 1973 oil crisis and the difficult years that followed.
Ford Mustang Cobra II 16 photos
Photo: Ford Motor Co
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Its story started in the early seventies when sales of the preceding model and the whole pony car segment began to drop. Customers were abandoning these gas-guzzlers in favor of smaller, cheaper, and more fuel-efficient cars like the Datsun 240Z, Toyota Celica, or Ford’s own Maverick.

To capitalize on this trend, newly appointed Ford Motor Co. president Lee Iacocca, one of the men responsible for the birth of the original model, ordered the development of a completely new, downsized version of the Mustang.

Initially, the plan was to use the popular Maverick as the building block for the new car. Still, Ford designers led by Dick Nesbitt eventually opted for an even smaller platform taken from the subcompact Pinto.

Ford Mustang II Fastback
Photo: Ford Motor Co.
The second-generation Mustang was eventually revealed in September 1973 as a 1974 model. A month later, the oil crisis began, so smaller, fuel-efficient cars became even more desirable.

Available as either a two-door notchback coupe or a sportier three-door fastback, its styling was influenced by coachbuilder Ghia of Italy, which had recently been acquired by Ford. The car's base engine was a 2.3-liter (140-cu in) Lima four-cylinder that only produced 89 hp (66 kW) and 118 lb-ft (160 Nm) of torque. There was also an optional 2.8-liter (171-cu in) Cologne V6, which was equally unimpressive since its output was rated at 105 hp (78 kW) and 140 lb-ft (190 Nm) of torque.

Despite these modest figures, the Mustang II was smaller, lighter, and came with a power-assisted rack and pinion steering, making it easier to handle. Additionally, it was cheap and fuel-efficient, so as gas prices almost quadrupled that year, it quickly became very popular.

Ford Mustang II Coupe Ghia
Photo: Ford Motor Co.
While Chrysler discontinued the Plymouth Barracuda and Dodge Challenger, two of the original pony car’s traditional rivals, the redesigned Mustang II was among the best-selling cars of 1974, earning Motor Trend's Car of the Year distinction. Its success during that dreadful year was critical for the Blue Oval and ensured that the legendary nameplate would live on.

With the oil crisis ending and the U.S. economy slowly getting back on track, Ford reintroduced a V8 option in 1975 to make the car even more appealing. Thus, the engine bay, hood, and header panel were redesigned to make room for the 4.9-liter (302-cu in) unit. Mainly due to the new emission standards that were in place at the time, it only made 140 hp (104 kW). That's little by today's standards, but it was more than adequate for the Malaise era.

Apart from the addition of the eight-cylinder, all 1975 Mustangs were fitted with catalytic converters, while the Ghia model received opera windows and a padded vinyl half-top.

Ford Mustang II King Cobra
Photo: Ford Motor Co.
The car managed to retain its popularity in the following years despite the lack of any major upgrades. For the 1976 model year, the Stallion and Cobra II appearance packages became available. These made the cars more visually appealing but didn’t bring any performance-related improvements.

The second-generation Mustang was produced until 1978, and Ford introduced the limited-edition King Cobra so that the series could go out with a bang. It featured a deep air-dam, stripes, and a cobra snake decal on the hood. It was only available with the V8, but the engine didn’t receive any performance-enhancing upgrades.

While it has few fans among current enthusiasts, the small, cheap, and underpowered Mustang II was a successful model that kept the legendary nameplate alive during an era when fuel consumption was far more important than horsepower. For that, it deserves our respect and admiration.
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About the author: Vlad Radu
Vlad Radu profile photo

Vlad's first car was custom coach built: an exotic he made out of wood, cardboard and a borrowed steering wheel at the age of five. Combining his previous experience in writing and car dealership years, his articles focus in depth on special cars of past and present times.
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