Due to its light weight and small size, it is designed for easy deployment (by aircraft if needed) allowing rapid movement on narrow roads and in built-up areas in response to various contingencies.

The first concept for a Japanese wheeled chassis mounting a 105 mm cannon appeared with the "Future Combat Vehicle" [ja] (将来装輪戦闘車両) program in 2003.

The LCV program was a technology demonstration to explore the viability of multiple concepts that would possibly be integrated into the maneuver combat vehicle development.

Other concepts that would be omitted from the Type 16 include the in-wheel engines, transport inside of the C-130, and indirect fire capability of the main cannon.

For FY2016, the MOD has requested funding for 36 examples of the MCV, to enter service with elements of the 8th Division at Kumamoto, and the 14th Brigade at Zentsūji.

The intention is for the MCV to act as both as a rapid reaction asset against conventional incursions on the outer islands and as a counter-insurgency vehicle against asymmetrical attacks in urban areas of Japan by enemy special forces, intelligence operatives, or their proxies.