When the Neon was introduced in 1994, Chrysler decided for some fortunate reason to make a splash in SCCA racing and autocross. The Neon ACR was developed as a race-ready (just add rollcage), low cost machine, using as few special parts as possible. So that the first production run would wind up on the track, not the street, buyers were required to hold an SCCA membership. This original '1994-1/2' batch consisted of 182 SOHC-powered ACR sedans. Chrysler also sweetened the pot with substantial contingency money for ACR racers.

The original ACR was built on the Base Sedan, and the only factory option was the rear defroster. A/C and radio were not available, nor were the rest of the luxury or convenience options. In keeping with its mission, the ACR has never been available with an automatic transmission or antilock brakes. After the initial production run, the ACR package (also known as the Competition Group) joined the regular lineup, so A/C and radio became options. Non-SCCA folks were allowed to join the fun, as well.

ACRs have several distinguishing features. Foremost is the SDK (Competition) suspension with front and rear swaybars and very stiff struts, to bring handling up to racetrack strength. The steering ratio is quicker than standard, and brakes are four-wheel disc. In early 1995, ACR construction changed to include hubs 10mm thick (compared to the stock 8mm) to accommodate road racing stresses. The manual transmission has both a lower final drive ratio and a lower fifth gear for better acceleration. All ACRs get the oversized radiator from the air conditioned car.

All ACR Sedans have the SOHC engine; all Coupes got the DOHC.

Most ACRs were built on the Base chassis, to take advantage of the weight savings of minimal insulation or luxury options. The ACR Coupe started production in 1995 using the Highline chassis, then changed to the Base Coupe for '96 and '97. All '98 and the few '99 ACR's (Sedan and Coupe) use the Highline chassis, since the Base car was discontinued. Outside, the ACR has the Sport front fascia with empty foglight holes. Side moldings were not available from the factory, but sometimes added at the dealer. The interior was originally Base or Highline style (depending on the chassis); in the '96, the ANC option added a leather-wrapped shifter and steering wheel, as well as the Sport seats (with better lateral support) and Flash upholstery. ANC is now the standard interior since the Base car was discontinued in 1998.

The ACR designation has come to be known as "American Club Racing". However, it was originally just the sales code and has no actual significance. The same is true of the ANC interior, which is popularly held to mean "American National Champion".

The ACR would make a comeback in 2001 with just the Dodge and Chrysler versions, Unlike prior years with the Plymouth badge.
The ACR would vanish once again after 2002 on the PL platform untill 2005 as a SRT-4