While Hudson's cars had been largely unchanged since 1948, Nash’s were redesigned in 1952. Nash’s products being newer, and as it was the dominant partner, its designs prevailed. Although AMC offered both Nash- and Hudson-badged large cars, the Hudsons were mostly camouflaged Nashes.
George Mason, president of Nash and architect of the merger, became chairman of AMC but unfortunately died a few months later. He was replaced by his visionary executive vice-president, George Romney.
Romney was, like Mason, a firm believer in smaller, more economical cars. And although Nash had just launched the tiny, two passenger Austin-engined Metropolitan in March 1954, it was too small for families. Romney recognized that the Rambler was AMC's best asset.
The Nash Rambler had been introduced in 1950 with a 2,540-millimetre wheelbase, considerably shorter than other American offerings except the tiny Crosley, which was too small to be practical. The Rambler had Nash's 2.8-litre side-valve six from the Nash 600, and the full unit construction that Nash had pioneered on the American scene in its 1941 600 model.
AMC recognized that with the other smaller American cars, Kaiser-Frazer’s Henry J and Willys-Overland's Aero both gone, and their own Hudson Jet on the ropes, the compact Rambler would be in a class by itself.
They continued the small Rambler but recognized that more interior space was needed. It was decided to concentrate on the longer 2,743-mm wheelbase four door Rambler sedan and wagon they had introduced for 1954. It had unit construction of course, and the ground breaking “Weather Eye” air-conditioning system introduced in 1954 in which engineers were able to make the entire unit compact enough to fit under the hood and cowl, rather than the usual practice of placing the condenser in the truck.
Romney saw this roomier Rambler as the company's salvation. Its extra length made it a much more practical car, and to improve appearance for 1955 the front wheel cutouts were enlarged to expose more of the wheel. A new grille was also created. This design was to carry it through until the completely new model arrived for 1957.
But competition in the full-size car market was intensifying, and AMC's large Nash and Hudson cars were quickly losing market share. Romney was concerned about the young company's viability, and since the Rambler was gaining favour and had its own market niche, he directed AMC's limited resources toward pulling the longer-wheelbase Rambler’s restyling forward to 1956. They also decided to discontinue the shorter wheelbase Rambler at the end of 1955, although it would return a couple of years later as the American.
Moving the redesign up by a year pressed AMC stylists and engineers to the limit, but somehow it was ready for December 1955. The 1956 model was really a new design with a lower beltline and flattened and lowered roof. This resulted in larger windows and an airier feeling than earlier Ramblers.
The body sides were less rounded, which yielded more interior space in a car that actually had slightly smaller exterior dimensions than previously. Trunk capacity was increased and the wraparound windshield was new, as was the one-piece diecast grille.
The body sides received an attractive side-spear treatment, and the availability of up to three colour combinations made a very appealing package.
There was good news under the hood, too. AMC engineers converted the 3.2-litre inline-six engine to overhead valves, which improved breathing enough to raise horsepower from 90 to 120.
Underneath, the rear leaf springs were replaced by coils. Power steering was available for the first time, and the electrical system went from six to 12 volts. A three-speed column-shifted manual transmission was standard, with overdrive or a four-speed GM Hydra-Matic optional.
The 1956 Rambler came as a four-door sedan or station wagon, the latter available as the industry's first pillarless “hardtop.” Buyers could get Nash's trade-mark reclining seats.
Although the new Rambler received favourable reviews by the motoring press, sales were down from the previous year because it had arrived as a mid-term model in a declining automobile selling environment. In spite of this, future sales took an upturn and the large old Nash and Hudson badged models were allowed to fade away in 1957.
The 1956 Rambler, with its sound engineering and appealing styling, was a watershed model for AMC, the saviour of the recently created corporation.