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Oxelösund is the seat of Oxelösund Municipality in Södermanland County. It is a coastal town and its harbour has a long history behind it, as it has been used for at least 500 years. In the 19th century it became a harbour of transport.
The town truly flourished when an iron works were constructed in 1913. The harbour, railway and iron works became the city's backbone. In 1950 it was one of the last cities to gain the City status in Sweden. City status was granted by a Royal Charter to towns who met certain criteria. Since 1971 though, the title became obsolete and the Cities of Sweden have no administrative or legal significance anymore.
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