[5] While the Messerschmitt name and insignia were used on the car, a separate company, incorporated as Regensburger Stahl- und Metallbau GmbH, was created to manufacture and market the vehicle.

[6] Retailing for around DM 2,500, the KR200 was considered an instant success with almost 12,000 built during its first year,[6][8] which was the highest annual production for Kabinenroller models.

[6] In 1956, around a year after West Germany joined NATO, Messerschmitt was allowed to manufacture aircraft again and lost interest in Fend's microcars.

It had a frameless windscreen with no window frames, an optional folding cloth roof and removable side curtains made from transparent plastic.

In February 1958,[13] the KR200 Kabrio Limousine model was released, featuring a cloth convertible top and fixed side window frames.

A Sport model was later offered with a cut down plexiglas windscreen with no roof and with fixed side panels so that the driver would have to climb in and out at the top of the car.

[14] A similar situation developed in other parts of Europe, such as in the manufacturer's biggest export destination, the United Kingdom, where sales were particularly affected and the Mini was becoming increasingly popular.

[9] In 1955, in order to prove the KR200's durability, Messerschmitt prepared a KR200 to break the 24-hour speed record for three-wheeled vehicles under 250 cc (15.3 cu in).

The record car had a special single-seat low-drag body and a highly modified engine, but the suspension, steering, and braking components were stock.

[10] The tandem seating also centralized the mass of the car along the longitudinal axis which, combined with the low center of gravity, low weight, and wheel placement at the vehicle's extremes, gave the KR200 good handling characteristics[18] A more minor advantage of tandem seating was that it made an export version to countries that drive on the left unnecessary.

[6] The KR200 ran on a 191 cc (11.7 cu in) Fichtel & Sachs forced-air (fan) cooled[19] single cylinder two-stroke engine positioned in front of the rear wheel,[6] just behind the passenger's seat.