Witth the introduction of the M48A2 Patton in , a replacement was needed for the antiquated M74 Armored Recovery Vehicle. The new vehicle was based on the M48A2 chassis, and was designated the M88.

The M88 was optimized for the operations expected of an armored recovery vehicle: towing tanks, winching and hoisting engines and other heavy loads, and basic field repair operations.

While the M88 used a lengthened the M48A2 chassis, the hull was significantly different, with the turret completely removed and a large, roomy fighting compartment taking up roughly two thirds of the hull. It was propelled by a 660hp diesel engine.

The M88's recovery equipment comprised a hydraulic spade, a main winch, plus a boom fitted with a hoist winch. The main winch, mounted beneath the crew compartment, has a capacity of 90,000 lbs and has 61m of 1.25 inch steel cable. The A-frame boom is operated by the driver from his normal position, and the capacity of the hoist winch is 50,000 lbs.

The crew comprised the commander, driver, and mechanic/rigger. The driver and mechanic sat at the front of the fighting compartment, while the commander sat in the center with an armorerd cupola. The commander's cupola also served as the mount for the vehicle's only weapon, a 7.62mm machine gun.

The contract for M88 production ran from 1960 through 1982, with 3,800 vehicles being built.  The M88 served in the Bundeswehr until it was replaced with the Leopard 1 and Leopard 2 Armored Recovery Vehicles.