The Kaiser-Frazer Corporation (1947–1953 as Kaiser-Frazer) was the result of a partnership between industrialist Henry J. Kaiser and automobile executive Joseph W. Frazer. In 1947, the company acquired the automotive assets of Graham-Paige, of which Frazer had become president near the end of World War II. Kaiser-Frazer was one of a few US automakers to achieve success after World War II, if only for a few years. Joseph W. Frazer left the company in 1949, replaced as president by Henry's son Edgar F. Kaiser.
In 1953, Kaiser bought the ailing Willys-Overland company, mainly for its Jeep brand, and merged the Kaiser and Willys operations under the "Kaiser-Willys Corporation". The Willys-Overland branch was renamed "Willys Motors", until ten years later, in 1963, it was renamed Kaiser Jeep.
History
The company was founded on 25 July, 1945, and in 1946 Kaiser-Frazer displayed prototypes of their two new cars at the Waldorf Astoria Hotel in New York City. The Kaiser was of an advanced front-wheel drive design, while the Frazer was an upscale, conventional rear-wheel drive car. However, production costs and development time constraints prevented the front-wheel drive design from entering production, so the new 1947 model year Kaiser and Frazer sedans shared their bodies and power-trains. Being some of the first newly designed cars on the market while the "Big Three" were still marketing their pre-war designs, the Kaisers and Frazers made an exciting entrance. Kaiser and Frazer continued to share bodies and engines through 1950 with different exterior and interior trim.
Henry Kaiser had no automotive marketing experience; But Joseph Frazer did, having held various positions with Packard, GM, Chrysler, and Willys-Overland. Kaiser believed in pressing forward in the face of adversity, while Frazer was more pragmatic. As the market for Kaiser-Frazer products slowed in 1949 with the introduction of new designs from the Big Three, Kaiser pushed for more production, creating an oversupply of cars that took until mid-1950 to sell. Kaiser and Frazer had repeated disagreements on how aggressive production should be until, finally, Joseph Frazer left the company in 1951 and the Frazer nameplate was dropped after a short 10,000 unit production run in 1951 that used up the remaining inventory of the 1949-50 bodies.
In 1953, the Kaiser-Frazer Corporation was renamed Kaiser Motors Corporation and continued building passenger cars through 1955. In 1955 Kaiser Motors Corporation had another name change as it became a holding company for the major assets of the Henry J. Kaiser Company. The business now operated as Kaiser Industries and established a very broad base of business activities including a group of television stations.
In 1953, Kaiser bought the Willys-Overland company for US$63,381,175 and merged the Kaiser and Willys operations under the name Kaiser-Willys Corporation. The decision was then made to exit the passenger car market, which was accomplished at the end of the 1955 model year.
By 1956, Willys Motors built only utility vehicles, many for export, and was turning a healthy profit as a company 100% owned by Kaiser Industries Corporation. This operation (which included stakes in Willys-Overland du Brasil and Industrias Kaiser Argentina) became Kaiser Jeep Corporation in 1963 and remained 100% owned by Kaiser Industries. During the period 1969-1970 Kaiser-Jeep Corporation was sold to American Motors Corporation through purchase of certain assets and assumption of certain liabilities by AMC. In 1985 American Motors was sold to the Chrysler Corporation in a lock-stock-barrel (acquiring all assets and assuming all liabilities of American Motors) transaction.