Since the first Altis proved to be a successful recipe, the carmaker decided to continue the project and introduced the second generation after just one year.
When Toyota, as the main stakeholder of the Daihatsu, decided to replace the Applause with the Altis, it didn't know how the customers will react. The results were good, and the parent company considered that it was time for a serious upgrade. Thus, it repeated the same procedure of badge-engineering and sold the Toyota Camry wide-body XV30 as Daihatsu Altis in Japan.
The new-edge design caught traction in Toyota's design department, and the Camry/Altis was a fine example of that. Its headlights with a leaf-like shape sported two arches merged together in sharp angles at the upper and lower side, with the blinkers mounted on the top. Its wrapped-around plastic bumper featured side-mounted fog lights or fake scoops, depending on the trim level, that flanked a two-slat grille between them in the apron. The three chromed slats from the grille supported the D-badge. Its body-colored door mirrors and handles were the same installed on the Camry.
Inside, Daihatsu offered a few trim levels, with wood veneers on the dashboard, center console, and door panels. Even though it wasn't a premium brand, those slight luxury additions made the car sell well on the Japanese market.
Under the hood, like on its predecessor, the Altis featured a 2.4-liter inline-four paired to a four-speed automatic transmission, which sent the power to the front wheels. The independent suspension in all corners ensured a smooth ride, while the four-wheel anti-lock disc-brakes provided better stopping power.