Honda made the first three-wheeled ATVs in 1970, which were famously portrayed in the James Bond movie, Diamonds Are Forever. Dubbed the US90 and later—when Honda acquired the trademark on the term, ATC90 It was designed purely for recreational use. Clearly influenced by earlier ATVs, it featured large balloon tires instead of a mechanical suspension.

By the early 1980s, suspension and lower-profile tires were introduced. The 1982 Honda ATC200E Big Red was a landmark model. It featured both suspension and racks, making it the first utility three-wheeled ATV. The ability to go anywhere on terrain that most other vehicles could not cross soon made them popular with US and Canadian hunters, and those just looking for a good trail ride. Soon other manufacturers introduced their own models.

Sport models were also developed by Honda, which had a virtual monopoly in the market due to effective patents on design and engine placement. The 1981 ATC250R was the first high-performance three-wheeler, featuring full suspension, a 248cc two-stroke motor, a five-speed transmission with manual clutch and a front disc brake. For the sporting trail rider, the 1983 ATC200X was another landmark machine. It has an easy-to-handle 192cc four-stroke that was ideal for new participants in the sport.