The 1967 model year Mustang was the first model to feature a major redesign with the installation of a big-block V8 engine. The overall size, interior and cargo space were increased. Exterior trim changes included concave taillights, side scoop (1967) and side ornamentation, square rear-view mirrors, and usual yearly wheel and gas cap changes.
The high-performance 289 options were placed behind the newer 320 hp (239kW) 390 cu in (6.4L) FE engine from the Ford Thunderbird, which was equipped with a four-barrel carburetor. Stock 390 4-speed manual transmission Mustangs were recorded quarter mile times of approximately 13 seconds and trap speeds of over 105 mph (169km/h).