The low-priced closed model Essex coach "had promoted the sensational recovery of Hudson" as an automaker in 1922.

Roy D. Chapin decided to repeat the successful strategy in 1932 by producing "a very light car in the bottom price class, a vehicle which would combine style, comfort, and reliability".

[4][5] The new Essex-Terraplane was launched on July 21, 1932, "with [such] sensational vigor" that "accounts of the affair appeared in newspapers throughout the United States.

[6][7] It was a small, but very powerful, car with a steel frame, built to exacting standards, which is probably why Orville Wright purchased one of the first Essex-Terraplanes for himself.

The Hudson had the identical basic engine, but with earlier style updraft carburetor carried over, and a displacement of 254 cu in (4.2 L) due to a larger cylinder bore than the Essex-Terraplane Eight.

The 1933 Essex-Terraplane 8-cylinder cars were believed to have the highest horsepower-to-weight ratio of any production automobiles in the world, and were favored by several gangsters of the day, particularly John Dillinger, Baby Face Nelson, and John Paul Chase, for their lightness, acceleration, handling, and discreet appearance.

A 1933 Terraplane 8 convertible coupe set a record for the race to the summit of Mount Washington that remained unbroken for over twenty years.

The cars were slightly heavier and rarely joined competitive events, particularly as they now lacked the eight-cylinder powerplant.

The British sounding names of "Hudson" and "Essex" had made them popular in countries of the Commonwealth, and thus Terraplanes also were built outside the U.S. in Canada, England, Australia, New Zealand, and South Africa in low volume.

In a few cases these bodies included styles not available in the U.S. market such as tourers (U.S. equivalent phaeton) and coupe utilities (the Australian car-based pickup truck).

In 1915 the Sydney branch of Dalgety & Co. Ltd became the distributor of Hudson and Essex vehicles as well as other marques for New South Wales.

[15] Hudson and Essex vehicles were imported into New Zealand by Dominion Motors of Wellington which began operations in 1912.

In 1922 Hudson-Essex Motors of Great Britain Limited was formed, with new premises on Dordrecht Road, in Acton Vale.

[20] In 1926 a factory was built on 4½ acres of ground on the recently opened Great West Road in Brentford.

[21] The plant opened in 1927 and a year later a three-story building was built as a service department for Hudson and Essex vehicles.

The 1934 Light Sports Tourer used a lightweight open four-seater body and mildly modified engine.