One key difference in between Dexron II and Dexron III fluids recommended by General Motors is the increased ability of the Dexron III product to function at a lower operating temperature. The same holds true for the Mercron and the Mecron V fluids, which are recommended by Ford.
ATF Fluid can be either single grade or multiviscosity products, They are similar in nature to a hydraulic fluid.
Dexron II & type F SAE viscosity grade 5W-20
Dexron III, Mecron V & ATF Plus 4 SAE viscosity grade 0w-20
Catipillar Powershift SAE grade 10w-30
ATF Friction Characteristics
Different automatic transmissions require lubricants with varying coefficients of friction
Chrysler ATF Plus 4 Moderately slippery
Dexron II, Dexron III, Mercon V Slippery
Ford Type F, TO-4 Grabby
Fluid characteristics also affect transmission longevity. Too little friction results in transmission clutch and band slippage, which causes plate and band deterioration and poor performance. Too much much friction can result in violent shifting which causes an undesirable shift feel, high shock loading and reduced component life.