Development
The genesis of the Rambler American began when AMC President George W. Romney saw that AMC was in need of a small compact during the Recession of 1958. Romney also wanted to build momentum in AMC's challenge to the domestic Big Three automakers by adding a third car line.
The first proposals were to modify AMC's captive import by extending the Metropolitan with a station wagon type roof design to make room for four passengers. However the 85-inch (2,159 mm) wheelbase of the Met severely limited the necessary interior room. On the other hand, the company had retained the tooling from its 1955 model Rambler. The old model's 100-inch (2,540 mm) wheelbase fit between its bigger family-sized 108-inch (2,743 mm) wheelbase Ramblers and the small import. The old design could be slightly modified and then used for the basis of the "new" American.
American Motors' financial condition meant it could not afford to develop an entirely new model. The reintroduction of the old model leveraged the Rambler's renown for fuel economy and wins in the Mobil Economy Runs, with the consumer's need for a smaller and more efficient alternative to the standard-sized cars that were marketed by the domestic Big Three (General Motors, Ford, and Chrysler) at that time.
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