By the 1970s, Allis-Chalmers tractors were considered reliable and competitively priced relative to their features, but in some respects, they had fallen behind the times. There were few gears, and the transmissions were unsynchronized. The design did not allow for the addition of oil-immersed brakes or a differential lock. Thus, the design of a new series was started from scratch, except for the engines. Models 7030 and 7050 were introduced in the spring of 1973. The engines were 7.0-liter units introduced the previous decade, but an intercooler had been added to the 7050. There were 20+4 gears, and the powershift was two-speed. The goal had been a powershift transmission, but its design had encountered difficulties.

The hydraulics were now load-sensing. The flow to external valves could be adjusted from 7 to 64 liters per minute. The cab was a new Acousta Cab, which was the quietest of its time—79.5 dB. Fuel tanks were now located under the cab, as were the batteries (4 pcs), which could be tilted out. On the 7030 model, the PTO at 540/1000 RPM was achieved with a reversible shaft.

By the end of 1974, power was increased by about 6 horsepower, and the drive axles were strengthened accordingly. The model designations became 7040 and 7060. At the top of the range was the 7080, which was then the most powerful two-wheel drive tractor on the market. In addition to the increase in engine power, the drivetrain was reinforced. Along with the update, a transmission resulting from powershift development was introduced, featuring a 6-speed powershift gear. In total, there were 12+2 gears.

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