In the 1970s, Peugeot expanded greatly, taking over Citroen in 1975 and forming the PSA Group, followed by Chrysler’s European division in 1978. However, what seemed like a good idea at the time, soon put the company into financial trouble.
To survive, Peugeot needed to think big, or rather, should that be, little – as the saying goes, the best things come in small packages. It launched the 205 in 1985, a fun, stylish, and high-quality compact hatchback, and almost overnight, it became an instant success.
Its key selling point was its versatility; three-door, five-door, convertible, each was brilliant in its own way. Numerous special edition versions helped grow its profile, including the 1.6 and 1.9GTi models, in addition to the iconic 205 T16 Group B rally car.