The design of the Type 94 began in 1932. Development was then given to Tokyo Gas and Electric Industry (later known as Hino Motors) in 1933, and an experimental model was completed in 1934. It was a small light tracked vehicle with a turret armed with one machine gun. For cargo transportation it pulled an ammunition trailer. After trials in both Manchukuo and Japan, the design was standardized. It was reclassified as the Type 94 (Type 2594; tankette) and was designed for reconnaissance, but could also be used for supporting infantry attacks and transporting supplies. It entered service in 1935. The Type 94 was later superseded by the Type 97 Te-Ke tankette, which was designed as a fast reconnaissance vehicle.