The Löwchen originated in Europe around 400 years ago; most likely in Germany as the name Löwchen means "little lion" in German. It was groomed to look like a little lion and its exposed skin was often used as a foot warmer for the ladies.
The breed was popular in Germany, Spain, France and Italy in the 1500s and continued throughout the 1800s. Like a lot of breeds, the numbers dwindled after the two world wars. It was named the "rarest breed" in the Guinness Book of World records in the early 1960s.
Numbers have risen enough to take that title away from it, however it is still considered rare. The Löwchen was recognized by the AKC in 1996.