The original film was created by Takeo Nisiguti who had sought a co-production with Russian animation. He contacted them in 1980, and the film took several years to develop. During this time, Russian animation received film equipment commonly used in Japan. It is the first time Russian and Japanese production had collaborated to make an animated film.
It was then animated in 1986 by Soyuzmultfilm. It was co-produced by Soyuzmultflm, and Lifework Corporation with music by Masahito Maruyama. It was sponsored by Aist Corporation and Sovinfilm. English versions of Lolo were distributed by Force Entertainment. The "Scamper" version was released by Enoki Films USA. A French dub was produced by Agovision and distributed by Arkeion Films.