The championship's earliest years were shaped by Germany's post-war political division. A West German championship ran from 1950 to 1954, while a separate East German equivalent continued through 1956. Both used the then-standard 500cc two-stroke formula that characterised Formula Three internationally at the time. This period was notable for BMW's first involvement in open-wheel racing as an engine supplier, drawing on experience accumulated in pre-war motorcycle racing and touring cars.
When Formula Junior replaced the 500cc formula in 1958, a revived German championship emerged in 1960 using 1000cc engines derived from production cars. Gerhard Mitter won that inaugural relaunch season, and Kurt Ahrens Jr. claimed the title in 1961 and 1963, with no championship held in 1962.
After the FIA returned to Formula Three regulations in 1964 with 1000cc four-cylinder production-based engines, Germany did not revive its national series until 1975. Ernst Maring won that first modern title, also becoming the first non-German champion of the series. Bertram Schäfer won back-to-back titles in 1976 and 1978, and his eponymous team, Bertram Schäfer Racing, became the dominant force in the championship, ultimately claiming eight drivers' titles including Frank Jelinski's back-to-back wins in 1980 and 1981.
The 1980s saw the series produce drivers of increasing calibre. Bernd Schneider won in 1987 and Joachim Winkelhock in 1988; both made Formula One appearances before becoming champions in touring car racing at the highest level. The 1985 champion Volker Weidler also competed in Formula One and won the 24 Hours of Le Mans in 1991.
The championship's most celebrated graduate arrived in 1990: Michael Schumacher. Four years before winning the first of his seven Formula One World Championship titles, Schumacher had already attracted widespread attention through his German F3 performances and concurrent outings in the World Sportscar Championship. He made his Formula One debut the following year. Heinz-Harald Frentzen, who had shared the runner-up position with Schumacher in 1989, went on to win three Grands Prix.
Schumacher's 1991 successor as champion, Tom Kristensen from Denmark, chose a sportscar career that delivered a record eight Le Mans victories and subsequent success in the DTM. Throughout the 1990s the series continued to graduate future Grand Prix winners including Ralf Schumacher and Jarno Trulli, as well as prominent names such as Alexander Wurz, Jos Verstappen, Nick Heidfeld, and Gary Paffett, the final champion of this era, who won the DTM title and served as a McLaren-Mercedes test driver.
In 2002 the motorsport governing bodies of France and Germany agreed to merge their national championships into the new Formula 3 Euro Series. The French championship ended at that point, but German teams with concerns about costs and a pan-European calendar sought to maintain a domestic series. Led by Bertram Schäfer with support from ADAC and the German Formula 3 association F3V, a new lower-level national series was launched in 2003 as the Recaro Formel 3 Cup, later renamed the ATS Formel 3 Cup when wheel manufacturer ATS took over title sponsorship in 2007.
The cup operated as a more economical alternative to the Euro Series and became notable for an unusually diverse variety of chassis and engine suppliers. Alongside the standard Dallara, competitors ran Lola B06/30 and Signature SLC R1 chassis, while the engine market accommodated H.W.A.-Mercedes, Spiess-Opel, Mugen-Honda, TOM's-Toyota, and Sodemo-Renault units. During the 2006 season, Nico Hülkenberg drove an experimental Ligier JS47 chassis built by Martini.
A two-tier class system was adopted in 2005, providing a cost-effective entry point for teams and drivers without top-level budgets. The series ran through 2014, when grid numbers had dropped to between nine and fourteen cars per round. Plans to continue as the German Formula Open in 2015 to circumvent FIA naming restrictions were announced but ultimately abandoned, and in January 2015 the championship was declared finished.
The German Formula Three Championship's greatest contribution to motorsport was its consistent production of elite-level talent across multiple decades. From Schumacher's landmark 1990 title through the roster of 1990s graduates who filled Formula One grids and sportscar podiums, the series functioned as one of Europe's most reliable talent pipelines. Its eventual absorption into the Formula 3 Euro Series reflected broader consolidation trends in junior single-seater racing rather than any decline in the quality of German motorsport.