1978

Because of its poor financial situation, AMC was unable to build a completely new car to replace its successful, but aging Hornet. Competition from Ford's all-new Fox platform variants, also introduced for 1978, and GM's still-popular RWD X-cars was stiff, so the struggling fourth American automaker needed something fresh if they wanted to continue competing in a class that had long been their bread-and-butter. The "new" car took the ca. 1970 Hornet body, grafted on the facelifted 1977 Gremlin's front fenders, a new hood, chrome 6-section grille with white rectangular parking lights, new rectangular headlights, bumpers, fiberglass rear fender end caps, rectangular tri-color taillights, and a stand-up hood ornament with a new Concord emblem. Increased sound insulation, suspension upgrades, and a more upscale instrument panel completed the old Hornet's transformation into the new 1978 Concord.
Three models were available: Base, Sport and the top-line D/L. The D/L featured many of the luxury cues that were popular on cars in the 1970s; a landau vinyl roof with opera windows (coupe only), color-keyed wheel covers, reclining seats covered in velveteen cloth, and woodgrain instrument panel overlays. The D/L wagon featured exterior woodgrain trim and reclining seats in a leather-like perforated vinyl. The Sport package included slot-style road wheels and bodyside tape stripes on the lower half of the vehicle, running up around the wheel flares. While one could get options like cruise control and air conditioning, power windows and power door locks were unavailable. A 232 in³ six-cylinder engine was standard, with a 258 in³ six-cylinder and a 304 in³ V8 being optional on the D/L models. American Motors introduced the availability of a Volkswagen/Audi-designed 2.0 L I4 engine which was also available in the Gremlin and later the Spirit. The engine was the same one used in the Porsche 924, although the Porsche was fitted with Bosch fuel injection instead of carburetors on the AMC models. This engine provided improved economy, but was not as powerful as the standard six-cylinder engine. Because of the expense of acquiring the rights to the new 2.0L engine, AMC could not afford to make it standard equipment.
Based on the hatchback model, the AMX was available for 1978, including a different front fascia with single round headlights, a flush blackout grille, round amber parking lights, a brushed aluminum targa band roof, body color trim, the Gremlin's "power bulge" hood, and fiberglass wheel flares. Only the 4.2L I6 and 5.0L V8 engines were available with the AMX, the latter engine available solely with the 3-speed automatic.
American Motors marketed the Concord as a more economical alternative to larger luxury cars. The tag line in the ads at the time of Concord's introduction touted it as the car with "The luxury America wants, the size America needs.". The Concord outsold the Pacer, Matador, and Gremlin combined for its first year.