The Dodge Omni and the nearly identical badge engineered variant, the Plymouth Horizon, is a subcompact car manufactured and marketed by Chrysler Corporation for model years 1978–1990.

While visually similar, the American Omni/Horizon would have extensive functional differences from its European counterpart, primarily to accommodate US marketing and regulatory requirements.

[9] Results were dismal,[10][11] and in late 1969, Chrysler announced it would market its Rootes and Simca products directly via its Chrysler-Plymouth Division.

The Cricket, and the Mitsubishi-built Colt, marketed concurrently by Dodge dealerships, were both seen in the industry as stop-gap measures until Chrysler could design a small car to be domestically manufactured.

[4] At the end of 1974, Chrysler Europe approved the final clay model design of a shorter wheelbase version (codenamed C2) as a subcompact in the 1.3 L engine range.

[15] The C2 project provided multinational Chrysler Europe with a single model line to replace the outdated Simca 1100 and the Hillman Avenger.

[15] As part of the dire financial situation of its parent company, Chrysler Europe was sold to PSA Peugeot Citroën in August 1978.

As part of the sale, Peugeot phased out the Chrysler brand in Europe in favor of a revived Talbot marque; the rebranded Horizon continued production (nearly unchanged) through 1987.

[16] The sale of Chrysler Europe ended further design work on the C2 project; at the time, the company was seeking to expand the model line to a four-door sedan and a shorter-wheelbase three-door hatchback.

[15] Notably, the front-wheel drive layout at this time had been largely reserved in the U.S. for low-volume luxury cars (including the Cadillac Eldorado and Oldsmobile Toronado).

By 1976, Honda (with the Civic and the Accord) and Volkswagen (with the Rabbit) would become the first manufacturers to offer competitive front-wheel drive economy cars in the American market.

To further develop the C2 project for the American market, Chrysler Corporation purchased nearly 100 Volkswagen Rabbits in the United States for the purposes of reverse engineering.

While Chrysler had trailed the AMC Gremlin, Ford Pinto, and Chevrolet Vega to market by eight years, the $2,500 (US$11,700 in 2023[17]) Omni/Horizon provided the company an extensive headstart on its American competitors (which were released in 1981 and 1982, respectively) with the adoption of front-wheel drive, transverse-mount powertrains.

[18] The Dodge Omni and Plymouth Horizon use the front-wheel drive Chrysler L platform on a 99.2-inch wheelbase (shared with its European namesake).

Chrysler invested in a number of significant changes that ended up being used for only one year; the cars gained larger exterior rear-view mirrors borrowed from the departed M-body sedans in lieu of the original round units, and, to comply with federal passive-restraint regulations, a driver-side airbag was added along with rear-seat outboard shoulder belts.

[4] In contrast to many Chrysler model lines, the Dodge Omni and Plymouth Horizon were largely sold across a single trim level.

Suppliers, United Auto Workers, Chrysler dealers, and even the State of Illinois also made concessions to help lower the price of the car.

The Omni and Horizon appeared at a critical time for Chrysler, when the company was on the brink of bankruptcy and sought government support to survive.

However, the L-bodies miscarried at first, since 1978 was a year of strong sales for larger cars and demand for compacts and subcompacts noticeably shrank.

While again offering the same powertrain as the five-door hatchbacks, the 2.2 L high-output engine was added to create the Dodge Shelby Charger/Plymouth Turismo Duster.

[31][32] For 1984, the Omni GLH adopted many of the modifications of the 1983 Shelby Charger, including its 110 hp (82 kW) 2.2 L "high-output" I4, stiffer suspension, larger brakes and wider tires.

[33] For 1985 and 1986, Shelby offered the GLH with an optional 146 hp (109 kW) 2.2 L Turbo I I4 (GLH-T); 1986 vehicles are largely distinguished by their center brake light.

The suspension was upgraded further, receiving stiffer springs, and adjustable Koni struts and shocks, along with larger tires mounted on Shelby-designed wheels.

As front-wheel-drive cars were still considered a new idea in the American automotive industry, the allegation received extensive mainstream coverage, including a piece in Time magazine.