The M38A1 is a direct descendent of the famous World War II "Jeep" . During World War II there were 335,531 Willys MB and 281,578 Ford GPW Jeeps produced. In 1950, the civilian CJ-3A was upgraded with a stronger frame and suspension, a 24-volt electrical system and many small fittings to bring it up to GI standards, becoming the M38. These were produced from 1950-1952 for domestic use, and from 1953 to 1955 for export. A total of 61,423 M38s were produced.

The M38A1 sported a different body style called the "round fender" and would serve as the basis for the civilian CJ-5 model. The M38A! has a much stronger chassis than the CJ-5, revised suspension, GI instrumentation and a 24-volt electrical system. Total production of the M38A1 was 101,488 units, with 21,198 being foreign sales. The M38A1 served US forces into the 1970s, being replaced by the Ford-American General M151 starting in 1961.