Founded by Jorgen Skafte Rasmussen in Saxony
after studying Engineering in Mittweida. By 1904
he had set up an apparatus engineering company,
and in 1916 began experimenting with steam-driven
motor vehicles. Although these experiments did
not lead to any specific product, they yielded
the company name and trademark DKW, derived from
the German words for "steam-driven vehicle" (Dampf
Kraft Wagen).
In 1919, Rasmussen obtained the
design of a two-stroke engine from Hugo Ruppe,
a tiny version of which he sold as a toy engine
under the name of "Des Knaben Wunsch",
meaning "The Boy's Dream". This mini
engine was subsequently upscaled and used as
an auxiliary cycle engine, evolving into a fully-fledged
motorcycle engine called "Das Kleine Wunder" (The
Little Miracle) in 1922. DKW became the largest
motorcycle manufacturer in the world during the
1920’s, and was also regarded as a leading
international engine manufacturer.
By 1927 Rasmussen
had acquired design and production facilities
for six and eight-cylinder engines from a Detroit
automobile company which had been wound up, with
two new Audi models being powered by the DKW
engines. Rasmussen however remained committed
to the idea of manufacturing smaller, less costly
vehicles. The very first DKW cars were rear-wheel
drive, and were built in Berlin-Spandau. At the
end of 1930, Rasmussen commissioned the Zwickau
plant to develop a car to be powered by a two-cylinder,
two-stroke motorcycle engine with a capacity
of 600cc. The designers, Walter Haustein and
Oskar Arlt, used a
unitary wooden chassis with
leatherette upholstery, swing axles at the front
and rear, and made the vehicle front-wheel drive.
Unveiled at the 1931 Berlin Motor Show, the DKW “Front” caused
a sensation with the masses. The DKW Front was
built at the Audi factory, and went on to become
the most-produced, most popular German small
car of its day. The company merged with Audi,
Horch and Wanderer to form the Auto Union group.