Kramatorsk is in the Donets Coal Basin, along the Kazennyy Torets River. It is one of the largest centers of the building of heavy machines in Ukraine and an important rail junction. The city's products include mining and railway machinery, cast and forged metal, coke chemicals, ceramics, building materials, food products, and consumer goods.

Kramatorsk has an institute of machine building, an industrial institute, and two post-secondary technical schools.

Established as a railway station in 1868, the town grew from a number of nearby 18th-century settlements. Following industrial expansion at the end of the 19th century, it grew and gained city status in 1932.

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