It was created when railway locomotive manufacturer Société Lorraine des Anciens Etablissements de Dietrich et Cie de Lunéville (known as De Dietrich et Cie, founded in 1884 by Jean de Dietrich) branched into the manufacture of automobiles.
In 1896, managing director of the Lunéville plant, Baron Adrien de Turckheim, bought the rights to a design by Amédée Bollée. While the company started out using engines from Bollée, De Dietrich eventually produced the entire vehicle themselves. In 1898, De Dietrich debuted the Torpilleur (Torpedo) racer, which featured a four-cylinder engine and independent suspension in front.
In 1902, De Dietrich & Cie hired 21-year-old Ettore Bugatti, who produced prize-winning cars in 1899 and 1901. The Lorraine-Dietrich was a prestige marque who’s reputation was built in part on racing.
De Dietrich bought out Isotta Fraschini in 1907. After World War I, with Lorraine restored to France, the company restarted manufacture of automobiles and aero-engines. The De Dietrich family sold its share in the company, which became simply known as Lorraine from 1928 on.
Automobile production eventually became unprofitable and, after the failure of their 20 CV model, the concern ceased production of automobiles in 1935.
