The woman, who was found dead next to the A454 Bridgnorth Road on Monday, is yet to be identified but police believe she was aged between her late teens and 30 years old.
She had significant burn marks to her body and is thought to have been driven to the main road in Perton before being set on fire in the early hours.
The lead detective described the woman's death as a "shocking and dreadful incident" as he appealed for anyone who thinks they may know who the woman is to come forward.
WATCH: Detectives appeal for help identifying victim
As of Tuesday afternoon neither her ethnicity or age had been confirmed, but by Wednesday the force said it was close to identifying her.
Staffordshire Police also confirmed a 41-year-old man from Wolverhampton had been arrested on suspicion of murder and was in custody in Wednesday afternoon.
On Tuesday Detective Superintendent Tom Chisholm, of Staffordshire Police, said: We've launched a major investigation and are conducting multiple inquiries, but it's critical that we identify who this young woman was as soon as we reasonably can.
"At this stage we can only say that she was of slight build and was in her late teens to mid-to-late-20s.
"We are working really hard to identify her ethnicity and who she is through forensic testing."
The woman was found by police just before 3am on Monday after reports of suspicious activity on Bridgnorth Road, just south of Perton on the outskirts of Wolverhampton.
The area has been cordoned off by police since, with forensic tents put up at the scene and Bridgnorth Road set to remain closed from Tinacre Hill to Jenny Walkers Lane for the rest of Tuesday.
Det Spt Chisholm continued: “We believe the young woman was driven to the site. Did you witness anything or have local dashcam or CCTV footage?
Map shows where woman was found:
"Are you aware of any girls or women who are missing or unusual activity in the area Sunday night into the early hours of Monday morning?
“This was a shocking and dreadful incident and we are determined, with your help and support, to bring those responsible to justice.
"We will provide further updates as soon as we are able to do so.”
Anyone who believes they may know who the woman is, or was in the area of the Bridgnorth Road between 1am and 3am on Monday, is asked to contact police.
Anyone with information is asked to call Staffordshire Police on 101 visit mipp.police.uk/operation/STAFFS21H10-PO1, quoting incident number 42 of August 9, or contact Crimestoppers anonymously on 0800 555111.