On 21 June 1954 the TO‑54 flame‑thrower tank was formally accepted into the Soviet Army. Developed from the medium T‑54 tank, its design was completed in 1952 at Factory No. 75 in Kharkov. The flamethrower system was created by the SKB‑1 design team led by Mikhail Ozerksy and was initially known as Object 481 during development.

Two prototype units were built in the spring of 1952 and, after field trials, the Soviet Ministry of Defense ordered the type into service on 21 June 1954. Serial production took place at Factory No. 75 in Kharkov, with the flamethrower components manufactured at the Sverdlosk and Omsk plants.

Between 1955 and 1959 only 110 TO‑54 tanks were built, making it one of the rarest variants of the T‑54 family.