Corgi die-cast cars first appeared in 1956 as an expansion of the range of Mettoy Playcraft Ltd., founded in Swansea, Wales, in 1936. They quickly became bestsellers because they alone then had clear plastic windows. Their main rival was Meccano's Dinky Toys, long the leader in Britain's toy-car market.
Mettoy was founded in 1933 by German immigrant Philip Ullmann, who registered the business on Stimpson Avenue in Northampton. He already had 21 years' experience running his German toy company Tipp. His former employee Arthur Katz, a German of South African origin, soon became his partner. In the 1940s and 1950s Mettoy produced many die-cast vehicles. Though simple, they found buyers. Ullmann and Katz believed an expanded car range would be profitable and challenge Meccano's Dinky Toys monopoly.
In the mid-century, declining coal mining caused severe unemployment in Wales. The new factory created 6,000 jobs. Ullmann chose a name reflecting its location: the corgi is a Welsh dog breed and a favourite of the Queen. ‘Corgi Toys’ was memorable and echoed its rival's name, so a corgi became the logo. The simple promotional idea of clear windows to resemble real cars worked: Corgi became famous as ‘the only cars with real windows’.
In 1989 Mattel, the global maker of Barbie and Hot Wheels, bought the business. Production moved to Leicester, where Mattel's headquarters were based.
The company then acquired rights to Corgi Classics, releasing British vintage cars, vans and trucks from the 1930s–1960s. Adults who had grown up in those decades loved the nostalgic collection, and the idea remains profitable. Around the same time Corgi launched American trucks, fire engines and buses in the USA, but this range did not receive the enthusiasm expected.