In 1915, the construction of a seaport started, and in 1918 a railroad connecting Moscow to Murmansk running through Kandalaksha was opened.

On August 29, 1927, Kandalaksha was made the administrative center of the newly established Kandalakshsky District,[13] and on June 1, 1932, it was granted work settlement status.

[1] On February 9, 1940, Kandalaksha was administratively separated from the district and granted the status of a town of oblast significance.

[1] In July 1941, during World War II, the town was the primary target of an unsuccessful German-Finnish offensive which attempted to cut the strategic Kirov Railway.

Kandalaksha has a subarctic climate (Dfc) with mild, rainy summers, and cold, snowy winters.