The crash, involving a Kia Picanto car and an Iveco Daily box van, happened between Buck Barn and Cowfold at around 7.40pm on Sunday (January 2).
A police spokesman said: “Despite the efforts of members of the public and paramedics, the driver of the Kia Picanto, a 32-year-old woman, sadly died at the scene.”
The A272 between Buck Barn and Cowfold was closed for several hours while police examined the area.
The spokesperson added: “A 33-year-old man from Hampshire has been arrested on suspicion of causing death by dangerous driving and released under investigation.
“Officers from the serious collision investigation unit have appealed for anyone with relevant dash cam footage in the area showing the vehicles prior to the collision, or who saw what happened to email [email protected] or by calling 101, quoting Operation Codnor.”