China's first generation tank development program failed to meet the PLA's performance requirements.

These technical shortcomings coincided with the appearance of the T-72 and T-80 tanks in Russia, which influenced Chinese defense officials and contributed to their decision to begin development of a new generation indigenous MBT in the early 1980s.

Most distinctively, the Type 88 family had six road wheels instead of the five that the previous Chinese MBTs possessed.

In 1995, Norinco produced the Type 85-III prototype with an upgraded engine and explosive reactive armor.

[3] In the early 2000s, the Type 96 was the PLA's main armored firepower for maneuver warfare units.

[5][6][7] In 2014, China participated with the Type 96A in the Russian-hosted tank biathlon, where it competed against the Russian T-72B3, clinching third place.

[9] The main armament is a 2-plane stabilized 125 mm ZPT-98 smoothbore gun with an autoloader using a carousel-style magazine.

The Type 96 is equipped with the ISFCS-212 computerized fire-control system with a ballistic computer, laser rangefinder, and automatic target tracking capability.

When the Type 96 entered service, its fire-control system was reportedly superior to that of the T-72 tanks fielded by other nations at the time.

[11] The Type 96 is capable of day/night all-weather operations as the driver, gunner and commander have access to night vision devices and image intensifiers.

The tank series is also fitted with NBC protection and automatic fire suppression system.

[11] On Type 96A, the tank turret is fully welded with improved steel armor layer and composite mix.

The arrow-shaped FY-4 explosive reactive armor (ERA) blocks are mounted on the turret, hull, and storage bucket for increased protection.

[15] An electro-optical actived defense system, TCS-2, developed by 303 Institute of Norinco, is installed on the Type 96A prototype.

TCS-2 was not installed on the mass-produced version due to limited protection against modern anti-tank missiles.

The increase in horsepower also allows the Type 96B to have a very high power-to-weight ratio, improving its acceleration and hill climbing abilities.

[20] Electro-optical jammers which are able to jam enemy guided missiles, rangefinders, and designators are found on the tank.

[25] On December 9, 2021, the Tanzania People's Defence Force displayed a single unit of the VT-2 main battle tank during a parade in Dar es Salaam to mark the 60th anniversary of Tanzanian independence.