Launched in 1993, Evolution II incorporated a number of modifications designed to boost its performance, handling stability in particular. In line with the original plan to boost engine power by 10PS with each generation, modifications to the engine included an increase in turbo boost pressure, reduced exhaust back pressure and increased valve lift.

These changes pushed engine output up to 260PS at 6000 rpm, with torque remaining at 31.5Kg-m at 3000 rpm. An increase in the number of tarmac stages in WRC events meant improvements were called for in Evolution's handling. Modifications in Evolution II included: the use of larger wheels and tires, the wheelbase was extended by moving the front wheel center 10mm forward, and the front and rear tracks widened 15mm and 10mm respectively to accommodate the fatter tires. With its larger diameter tires, Evolution II stood 25mm taller.

Optimization of the front suspension following these changes included: the use of new lower control arms and longer struts; the front stabilizer was attached directly to the lower control arms to quicken steering responce, and front camber was optimized. Together with a longer damper bump stroke and other detail improvements, these changes brought a dramatic improvement to Evolution II's handling performance, making for quicker response and raising its cornering limit, particularly on tarmac surfaces.

In the aerodynamics department, Evolution II gained an airdam under the front bumper, while the addition of a wicker increased the effectiveness of the reardeck spoiler. The use of OZ alloy road wheels, with their powerful rally image, and other styling touches also made Evolution II a more attractive machine.