The 1999 featured a mid-generation redesign now typical with car manufacturing. The vehicle is “re-skinned” with a new exterior, making it appear to have changed significantly, but other than the exterior it is essentially unchanged. The 1999 Mustang featured a more angular body than the 1994-1998 range, resulting in sharper edges and more visible lines than the softer body used before. To celebrate its 35th anniversary, all 1999 Mustangs (sans the Cobra) featured commemorative badges on the front bumper. A special “35th Anniversary” appearance package was also available; it freatured a hood scoop, side scoops, rear spoiler, rocker panels, and 17-inch wheels.

The base Mustang saw a power increase to 190 hp and the GT’s 4.6 L V8 saw a power increase to 260 hp. The Cobra, using a modified 4.6 L V8, produced 320 hp. Of particular significance, the Cobra now used an independent rear suspension, greatly increasing the Mustang’s handling capabilities.