Lincoln Continental, Second generation (1956–57).

After an eight-year hiatus, for the 1956 model year, the Continental nameplate made its return; to launch the vehicle, Ford created a namesake Continental division centered around its new flagship vehicle. To again highlight the European influence of the original Continental, Ford assigned the "Mark II" suffix to the new Continental (also in an effort to distinguish itself from the similar Bentley Continental). Slotted (far) above Lincoln-Mercury, Continentals would be marketed and serviced through the Lincoln dealership network.

At its 1956 launch, the Continental Mark II was the most expensive automobile sold by a domestic manufacturer in the United States, rivaling the Rolls-Royce Silver Cloud. At $10,000, the Mark II (equivalent to nearly $90,000 in 2016) cost the same as five Ford Customlines. With a large number of power-equipment features included, the Mark II was offered with a single option: $595 for air conditioning.

Sharing its 126-inch wheelbase with the Lincoln Capri and Lincoln Premiere, the Mark II was assembled with its own body panels and interior; each vehicle was hand-built, with hand-sanding and finishing of body panels. In several elements of its design, the Mark II broke from American styling precedent. As with a Rolls-Royce or Mercedes-Benz 300d, the Mark II essentially restricted chrome trim to the window trim, grille, and bumpers. With a nearly flat hood and trunklid, the Mark II was also designed with neither tailfins (prominent on American sedans) nor pontoon fenders (then current in Europe). The "Continental spare tire" made its return, partially as a functional design feature; the spare tire on the Mark II was vertically-mounted, necessitating the spare tire bulge on trunklid.

In total, 2,996 Continental Mark IIs were produced (including two prototype convertibles). As a consequence of the nearly hand-built construction, Ford estimated it lost nearly $1000 on every Continental Mark II produced. After 1957, the Mark II was discontinued; the Continental Division was re-branded as a competitor to Imperial and Cadillac (rather than Rolls-Royce and Bentley).