During World War II, following the invasion and occupation of Yugoslavia, Vareš was incorporated into the fascist puppet Independent State of Croatia (NDH), and controlled by the Croatian Ustashe quislings, as an important mining center whose natural resources, mainly iron ore, was exploited to support the NDH war efforts. In April 1945, the town was eventually liberated by the Yugoslav Partisans, and became a part of the Socialist Federal Republic of Yugoslavia.