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As the Cavalry wanted an even higher top speed, it was decided to bring to fruition experiments already conducted from October 1936 to install a more powerful engine. A new prototype was built in 1937, with a 120 hp engine instead of the 78 hp one. The hull was enlarged, giving it a higher almost level engine deck, to accommodate it. The track and the suspension elements were improved, raising the weight to 12.1 t (11.9 long tons). This improved type was faster, with a top speed of 36.5 km/h (22.7 mph), but also proved much easier to drive. As this removed one of the objections of the Infantry, it was first presented to the Commission d'Expérimentations de l'Infanterie on 31 January 1939 to see whether the original negative decision could be changed. The commission indeed accepted the type, the Char léger modèle 1935 H modifié 39; and it was decided on 18 February to let it succeed the original version from the 401st vehicle onwards, which was just as well as both in 1937 and 1938 an order had been made of two hundred vehicles and production had already started, the total orders of the improved type thereafter being expanded to nine hundred. The factory identifier however, was Char léger Hotchkiss modèle 38 série D, its predecessor having been the série B. The factory designation has caused much confusion; this was still officially the same tank as the H35, only in a later variant; even at the time, many began to refer to it as the 38 H or the 39 H.