Activities Hobbies Second Generation (1974-1978) Mustang Photo Gallery The Mustang II arrived with a smaller engine and less power Share PINTEREST Email Print Hobbies Cars & Motorcycles Contests Couponing Freebies Frugal Living Fine Arts & Crafts Astrology Card Games & Gambling Playing Music Learn More By Jonathan Lamas Jonathan Lamas Jonathan Lamas is a seasoned automotive journalist. He has covered cars and the auto industry for Forbes Autos, Car and Driver, Consumer Guide, and other outlets. Learn about our Editorial Process Updated on 06/09/19 For almost a decade, automotive consumers had come to know the Ford Mustang as a powerful performance machine, with power increases delivered on an almost yearly basis. The Ford Co. took a different approach with the second generation Mustang. Beginning in 1974, the year after the Arab oil embargo dramatically raised gasoline prices and reduced supplies, Ford downsized its engines. A completely redesigned Mustang II was launched, available in either a 2.3-liter inline four-cylinder engine or a 2.8-liter V6. Neither engine was particularly powerful, putting out just 90 and 100 horsepower, respectively. 01 of 18 1974 Mach 1 Mustang II Photo Courtesy of Ford Motor Company The Mach 1 Mustang returned in 1974 as a hatchback model. 02 of 18 Mustang II Trotting Pony Photo © Jonathan P. Lamas Mustang II's front pony emblem was modified to symbolize more of a trot than a gallop. Given the lack of power under the hood, this makes sense. 03 of 18 1975 Mustang II Photo © Jonathan P. Lamas Consumers spoke and Ford listened. In 1975, the V-8 engine returned to the Mustang lineup. Despite its return, this new 302-cubic-inch, 4.94-liter engine was nothing like engines of the past. 04 of 18 1975 Ford Mustang II Photo © Ford Motor Company In the 1975 version, Mustang's V8 produced just 130 horsepower and was only available with an automatic transmission. 05 of 18 1975 Ford Mustang II Grille Photo © Jonathan P. Lamas Here's a look at the 1975 Mustang II grille. 06 of 18 1975 Mustang II Downsize Photo © Jonathan P. Lamas This Mustang was 19 inches shorter and 490 pounds lighter than the 1973 version. 07 of 18 1975 Ford Mustang II Emblem Photo © Jonathan P. Lamas Ford's Mustang II emblem this year returned to the galloping horse. 08 of 18 1976 Mustang Cobra II Photo © Jonathan P. Lamas Inspired by the Shelby Mustang, Ford introduced the Mustang Cobra II in 1976. In the spirit of racing, the Cobra II featured a nonfunctional hood scoop, a distinctive front, and rear spoilers, as well as racing stripes. 09 of 18 1976 Mustang Cobra II Photo © Ford Motor Company The 1976 Mustang Cobra II resembled the look and feel of the original Shelby Mustang though it lacked the power. 10 of 18 1977 Mustang Cobra II Racing Stripes Photo © Jonathan P. Lamas Racing stripes for the 1977 Mustang Cobra II also came in black and gold. 11 of 18 1977 Mustang Cobra II Rear Photo © Jonathan P. Lamas The Mustang Cobra II featured dual exhaust pipes. 12 of 18 1977 Mustang Cobra II Lettering Photo © Jonathan P. Lamas Like the other Mustang Cobras IIs, the 1977 model featured Cobra II lettering prominently on the right rear end of the car. 13 of 18 1977 Ford Mustang Photo © Ford Motor Company The 1977 standard Ford Mustang featured T-tops. 14 of 18 1978 King Cobra Mustang Photo © Ford Motor Company The special edition King Cobra Mustang made its debut in 1978. It was the first Ford Mustang to officially feature the 5.0 badge. An estimated 5,000 units were produced. 15 of 18 1978 King Cobra Mustang Photo © Jonathan P. Lamas The King Cobra had a distinctive exterior style, featuring a prominent air dam and a Cobra decal on the hood. Other than this release, the Mustang lineup remained mostly unchanged. 16 of 18 1978 King Cobra Rear Lettering Photo © Jonathan P. Lamas King Cobra lettering was prominently featured on the right rear end of the car. 17 of 18 1978 King Cobra Mustang Engine Photo © Jonathan P. Lamas Here's the special edition King Cobra Mustang engine compartment. 18 of 18 1978 King Cobra Mustang Photo © Jonathan P. Lamas The special edition King Cobra Mustang wasn't renowned for its storage space, but there was still ample room behind the front bucket seats.