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A police spokesman said they received numerous calls about a car being driven dangerously on State Highway 1 on Saturday night.
The driver failed to stop after pursuing officers activated their flashing lights.
Police then laid road spikes, which slowed the woman's attempted escape.
The car came to a stop near Mosgiel just after 6pm.
Sgt Mike Calvert, of Dunedin, said officers had earlier been looking for the car, which allegedly was stolen in Gore.
They were alerted to it by the dangerous driving calls.
Police vehicles boxed the woman in when they caught her, after which she allegedly backed into one of the cars in an attempt to escape, causing moderate damage.
A 23-year-old female has been charged with unlawfully taking a motor vehicle, failing to stop, reckless driving and excess breath-alcohol.
She is being held in custody by police and will appear in the Dunedin District Court today.