The second version revived the nameplate in 1961 for a Chrysler A platform-based compact that was marketed for two model years and replaced by the Dodge Dart.

The third version returned the Lancer nameplate in 1985 for a front-wheel drive mid-sized Chrysler H platform model that was in production until 1988 after which it was replaced by the Dodge Spirit.

The Custom Royal Lancer featured a big-block V8 engine, the 361 cu in (5.9 L) producing 305 hp (227 kW; 309 PS).

The Custom Royal Lancer featured a padded dashboard and steering wheel, Lancer emblems on the fenders, steering wheel, hubcaps, foot-operated windshield wipers, dual-radio antennas, deluxe side trim, and thick chrome eyebrows.

For the 1961 model year, Dodge applied the Lancer nameplate to a higher-priced, upmarket badge-engineered version of Chrysler's Valiant compact.

The model was introduced when Chrysler officially assigned the Valiant to the Plymouth division for 1961, leaving Dodge dealers without a compact car to sell.

A survey of 1961 Lancer owners by Popular Mechanics based on a total of 1,023,938-mile (1,647,868 km) miles driven reported that 77.6.2% rated their cars as excellent with handling, comfortable ride, power/performance, and styling as their top likes.

Also for the 1962 model, "Lancer GT" medallions were mounted on the doors' interior trim panels below the vent window and on the sides of the front fenders just aft of the headlamps.

The GT also lacked certain ornamentation found on the 170s and 770s such as the "Lancer" door scripts, the slanted chrome hash marks on the lower quarter panel, and the hook-ended stainless steel door-to-fender spears.

In the 1962 NHRA Winternationals, Wayne Weihe won the C/FX (Factory Experimental) class with a Hyper-Pak-equipped Lancer, clocking a 15.67 E.T.

White reflectors were mounted to the front bumper, in compliance with South African vehicle equipment regulations.

[6] Along with Shelby-themed trim changes, the cars included modified suspension, with upgraded sway bars, shorter springs, and quicker steering, as well as 4-wheel disc brakes and a Pioneer CD player which were an advanced features for the time.

[7][9] Chrysler took over production starting with the 1988 model year, building them in the same Sterling Heights plant as regular Lancers.

[6] Most of the Shelby graphics and badges were also removed and the Pioneer CD player was replaced by Chrysler's Infinity II system.

[8] The Lancer Shelby used a true intercooled Turbo II engine for the manual transmission version, providing the same 175 hp (130 kW) and 175 lb⋅ft (237 N⋅m) of torque.

The rear turn signals were amber rather than red, the front sidemarkers and the centre high mount stop lamp (CHMSL) were blanked off, small round repeaters were installed into the front fenders and the sideview mirrors were of spring-hinged rather than rigid design.