Manufacturing was moved to Paris following incorporation in 1898 with two marriage-related brothers-in-law, George Morane and Leon Desmarais, as Emile Delahaye's equal partners.

The company built a low volume line of limited production luxury cars with coachbuilt bodies; trucks; utility and commercial vehicles; buses; and fire-trucks.

Engineer Émile Delahaye began experimenting with belt-driven cars in 1894, while he was manager of the Brethon Foundry and Machine-works in Tours, France.

All three had bicycle-style tiller steering, rear-mounted water-cooled engines, automatic valves, surface carburetors, and trembler coil ignition; drive was a combination of belt and chain, with three forward speeds and one reverse.

Weiffenbach had no interest in racing, and focused on production of practical motorized automotive chassis, heavy commercial vehicles, and early firetrucks for the French government.

[citation needed] Following the war, Delahaye attempted, in 1927, to increase profits by adopting a modest form of assembly-line production, in a tripartite agreement with FAR Tractor Company and Chenard & Walcker automakers, and Rosengart, an entry-level manufacturer of small family cars.

By the end of 1935, Delahaye had won eighteen minor French sports car events and a number of hill-climbs, and came fifth at Le Mans.

[5] In 1936, Delahaye ran four 160 hp (120 kW; 160 PS) cars (based on the Type 135)[6] in the Ulster TT, placing second to Bugatti, and entered four at the Belgian 24 Hours, finishing 2-3-4-5 behind an Alfa Romeo.

[4] American heiress Lucy O'Reilly Schell paid the developmental costs for short "Competition Court" 2.70-metre-wheelbase Type 135 cars for rallying and racing.

[5] Dreyfus also scored a victory in the Ecurie Bleu Type 145 at Pau in 1938, using the model's fuel economy to beat the more powerful Mercedes-Benz W154.

[5] These victories combined with French patriotism ensured demand for Delahaye cars up until the German occupation of France during World War II.

The French government had ordered all private automobile production to cease in June 1939, but small numbers of cars continued to be built for the occupying German forces until at least 1942.

[citation needed] In 1951, a French military team with Captain Monnier and Colonel Henri Debrus were part of the victorious crew that won the first Algiers-Cape Town Rally with a Delahaye pick-up.

However, suspension components underwent catastrophic failure, and Delahaye was obliged to buy back a number of its vehicles to avoid litigation.

The vehicle was intended for use in France's African colonies, having large wheels and high ground clearance, and was also exported to Brazil.

Delahaye's competitor, Hotchkiss, negotiated a licensing agreement with Kaiser-Willys Motors, and obtained sanction to manufacture its Willys MB 'Jeep' in France.

The French army began to appreciate the simpler machine, available at a much lower price, and cancelled the contract for the more sophisticated Delahaye VLR.

Emile Delahaye agreed to partner equally with coppersmith business owners and brothers-in-law, Leon Desmarais and George Morane.

The arrangement was duly incorporated in 1898, and car assembly was moved to the vacant Paris factory owned by the incoming partners.

The board of directors was composed of the shareholders, plus their appointed manager of operations, Charles Weiffenbach, as chief executive officer.

Amadee Varlet was over eighty by then, and past his creative prime, but his earned respect caused him to be promoted to head up the new drawing office, and set up and manage the new racing department, assisted by much younger engineer Jean François.

Pierre Peigney, a family relative, was the president, but his was more a formal role, since it was Charles Weiffenbach who had been mandated by the partners to run the company, literally single-handedly.