Diecast (or die cast, or die-cast) toys were first produced early in the 20th century by manufacturers such as Meccano (Dinky Toys) in the United Kingdom and Dowst Brothers (Tootsietoys) in the United States.

The first models on the market were basic, consisting of a small car or van body with no interior.

In the early days it was common for impurities in the Zamak alloy to result in metal fatigue; the casting would crack or decompose for no apparent reason.

As a result, diecast toys made before World War II are difficult to find in good condition.

In 1968, Hot Wheels were introduced in the United States by Mattel, to address the complaint that they had no line of toys for boys to balance their line of Barbie dolls for girls. Because they looked fast and were fast (they were equipped with a low-friction wheel/axle assembly).

Hot Wheels quickly gained an important niche in the diecast toy market, becoming one of the world's top sellers and challenging the Matchbox 1-75 series in popularity.

During the 1960s various companies began to use diecast vehicles as promotional items for advertising. The idea that children can play a large part in a family's decision as to what products to buy came into wide circulation.

In addition, by the 1980s it was apparent that many diecast vehicles were being purchased by adults as collectibles, not as toys for children. Companies such as McDonald's, Sears Roebuck, Kodak, and Texaco commissioned toymakers to produce promotional models featuring their names and logos, or licensed their use.

By the 1990s NASCAR enjoyed increasing popularity and a large number of racing-related Nascar diecast cars and trucks, painted in the colors of the different racing teams, appeared from various manufacturers. Racing Champions was a leading brand of such models, but there were many others.

In addition to cars, trucks, buses, agricultual implements, and construction equipment, diecast aircraft and military models have become very popular.