The village of Matsuo was created on April 1, 1889 within Kita-Iwate District with the establishment of the municipality system.

On September 1, 2005, Matsuo, along with the towns of Ashiro and Nishine (all from Iwate District), was merged to create the city of Hachimantai and no longer exists as an independent municipality.

Matsuo was formerly known as the home of Japan's largest sulfur mine—the Matsuo Kōzan —and, later, as the home of the Matsukawa geothermal power plant.

The iron and copper Matsuo mine was also located there before abandonment in 1971.

This Iwate Prefecture location article is a stub.