The kibbutz was founded in January 1949 by a gar'in of North American Hashomer Hatzair members on the land of the depopulatedPalestinian village of Sa'sa',Sa'sa' was demolished by the Israeli Seventh Brigade and Oded Brigade on October 30, 1948. Sasa surrendered without resistance, and allegations of Israeli atrocities later surfaced. Many of the villagers from Sa'sa live in Naher al-Barid, a refugee camp in Lebanon, although some resettled in nearby Jish.
Kibbutz Sasa operates Plasan, a plastics factory that manufactures vehicle armour. The company, which is shared between some 100 families, is now a world leader in armor protection technology for vehicles. The kibbutz has signed contracts worth billions of dollars with major clients, including the U.S. military. Other branches of the economy include a dairy, in cooperation with Kibbutz Tuval; a beef herd; fruit trees (kiwi, apple, avocado and grapefruit); Bereshit, a fruit marketing company in cooperation with three other kibbutzim; and Sasa Tech, a manufacturer of technical and home care products.