The city was initially founded between 1771 and 1776 but was soon after abandoned during the War of Independence. It was settled again shortly after the Restoration War in 1865.
Dajabón is located on the Dajabón River, also known as the Massacre River due to a battle that took place here between the Spanish and the French in 1690. At the time of this battle, the governor of the French colony, Mr. Cussy, was killed in the Battle of the Sabana Real de la Limonada, near modern day Limonade in northern Haiti Gobernadores de la Isla de Santo Domingo (see page 375 for information on the battle of the Sabana Real de la Limonada in 1690).. The bridge across the river connects Dajabón to its larger Haitian sister city of Ouanaminthe. On Mondays and Fridays, Haitians are permitted to temporarily cross the bridge to sell their goods which mainly consist of the supplies donated to them by various organizations. Most of the goods are used clothes, shoes, bulk dry goods, and housewares. On these days, an area of several acres on the Western edge of the city becomes a crowded business place. In addition to the Haitians, Dominicans go to the market to sell food (vegetables grown in their part of the country).