Designed to be "the most luxurious and prestigious saloon car in the world," the seventh-generation Crown was released in August 1983. The new Crown retained the four body variations including a 4-door hardtop, a 4-door sedan, a station wagon and a van, while dropping the once enormously popular 2-door hardtop line. It was with this model generation that the 4-door hardtop assumed a dominant position that had once been held by the 4-door sedan.

A characteristic feature of the new Crown sedan was its resin-coated, glossy rear pillars dubbed the "crystal pillars." The station wagon featured a 2-tier roof (with a front roof window between the first- and second-tier roofs), improving the spaciousness and utility of the cabin.

The available engines included 2.8-liter inline 6-cylinder DOHC (5M-GEU), 2-liter SOHC (1G-EU), 2-liter DOHC 24-valve (1G-GEU), and 2-liter turbocharged SOHC (M-TEU) units, as well as 2.4-liter diesel and 2.4-liter turbo diesel engines. The 2.8-liter engine was replaced with a 3-liter unit in summer 1984, enhancing the output to 190 PS/26.5 kgm. A ceramic chamber was newly adopted for the turbo diesel engine at this time. In summer 1985, Toyota added Japan's first supercharger engine to the Crown's 2-liter gasoline engine lineup. The chassis features included a semi-trailing arm independent rear suspension system employed with the high-grade Royal Saloon model. The top-end Royal Saloon G model also featured an electronic stability control (ESC) system and other advanced electronic devices.