The redesign of the Bronco in 1978 was based on a shortened full sized F-100 pickup. It had a removable top and forward folding rear bench seat, similar to the competing Blazer. It shared many chassis, drivetrain, and body components. The entire front clip is indistinguishable from their full size trucks for those years, and 1978 and 1979 Broncos were available in either round or square sealed beam headlight styles. Ford started the redesign in 1972, codenamed Project Short-Horn, but introduction was delayed by concerns over the mid-1970s fuel crisis. The base engine was a 351 cu in, with an optional 400 cu in. A Ford 9" rear axle and a Dana 44 front axle were standard, with leaf spring rear suspension and coil sprung, laterally stabilized front.


The 1978 and 1979 Broncos featured an option for either full time four wheel drive utilizing the New Process 203 chain driven transfer case or, more commonly, part time four wheel drive with the New Process 205 gear driven transfer case.  1979 saw the addition of a catalytic converter, and other various emissions control equipment.