Chrysler at 100: A Century of Innovation, Crisis, and Comebacks

A century ago this month, a bold businessman named Walter Chrysler turned a struggling car company into something new—and American car culture would never be the same.

On June 6, 1925, the Chrysler Corporation was officially born in Auburn Hills, Michigan, rising from the remains of the troubled Maxwell Motor Company. Its very first car, the Chrysler Six, combined cutting-edge features like four-wheel hydraulic brakes with a price that many middle-class Americans could afford—just under $1,600 at the time (around $28,000 today).

Since then, Chrysler has helped shape the U.S. auto industry in dramatic ways, from engineering breakthroughs to bold marketing—and through more than a few financial crises. Despite all the twists and turns, the name “Chrysler” still holds a strong place in the story of American cars, even as the company now officially operates under a different name: Stellantis N.V.

Here’s a look back at 100 years of innovation, reinvention, and resilience.

Early Innovation and Expansion

By the late 1920s, Chrysler was already becoming a major player in Detroit’s auto scene. In 1928, the company launched the Plymouth, aimed at budget-conscious drivers, and acquired the Dodge Brothers brand, instantly gaining factories and a loyal customer base.

In 1934, Chrysler engineers introduced the Airflow, one of the first cars designed with aerodynamics in mind. While the car flopped with buyers, its design would influence many future vehicles. A few years later, the Chrysler New Yorker debuted in 1938—a model that stuck around for nearly 60 years.

Postwar Growth and 1970s Troubles

For decades, Chrysler was one of the “Big Three” U.S. automakers alongside Ford and General Motors. The company thrived through the postwar boom, but by the early 1970s, it faced trouble.

In 1971, Chrysler invested heavily—over $450 million—in a new generation of large vehicles. But then came the 1973 oil embargo, which sent gas prices soaring. Americans suddenly wanted smaller, more fuel-efficient cars, and Chrysler struggled to keep up. Sales fell, and financial troubles mounted.

The Iacocca Era and the Minivan Revolution

Things took a turn in 1978 when Chrysler hired Lee Iacocca, a former Ford executive best known for helping launch the Mustang. Iacocca quickly worked to save the company. With help from federal loan guarantees and after negotiating major cost cuts with labor unions and dealerships, Chrysler avoided collapse.

By 1980, the company was back in the black. In 1983, it changed the game again with the introduction of the Dodge Caravan and Plymouth Voyager—the world’s first modern minivans. The vehicles became a huge hit with families and made Chrysler the top seller in a new and growing market.

In 1987, Iacocca helped push for another bold move: acquiring Jeep, a rugged and well-loved brand that remains a top performer for the company to this day.

Big Changes and a Rocky Road

In 1998, Chrysler entered into what was called a “merger of equals” with Daimler-Benz AG, the German maker of Mercedes-Benz. The deal created DaimlerChrysler, but the partnership never really clicked. Daimler later sold most of its stake to private equity firm Cerberus Capital Management in 2007.

Then came the 2008 financial crisis, which hit the auto industry especially hard. In 2009, Chrysler filed for Chapter 11 bankruptcy protection. It eventually defaulted on more than $4 billion in secured debt. But again, the company survived—this time with help from the U.S. federal government, which backed the restructuring of what was called “New Chrysler.” Italian automaker Fiat stepped in to purchase the government’s shares, forming Fiat Chrysler Automobiles (FCA).

From FCA to Stellantis

Chrysler’s new parent company, FCA, tried to rebuild trust with customers—but not without problems. In 2019, the company agreed to pay around $800 million in a legal settlement related to accusations it had cheated on emissions testing.

Still, the company moved forward. In 2021, FCA merged with French automaker Peugeot S.A., creating a new global firm called Stellantis N.V. Though its official headquarters is in the Netherlands, Chrysler remains an essential part of the company’s identity in North America.

So, What Is Chrysler Today?

Today, Chrysler is one of 14 brands under the Stellantis umbrella. Alongside other familiar names like Dodge, Jeep, and Ram, the Chrysler brand now focuses on family-friendly sedans and vans, like the Pacifica, one of the few minivans still in production.

Even though the name on the building has changed, Chrysler’s legacy is still very much alive—especially in the U.S., where many people still refer to the automaker by its original name. After 100 years, Chrysler’s story remains one of reinvention and survival, driven by risk-taking, engineering know-how, and the occasional comeback against the odds.

Whether you call it Chrysler, FCA, or Stellantis, it’s hard to deny the brand’s lasting impact on the road—and on American culture.