Warforged are generally similar to their regular D&D counterparts as found in Eberron: Rising from the Last War and use the same statistics. However, their lore, origins, and nature differs greatly in our setting.
They are a race of humanoid constructs. Unlike most constructs, warforged were fully self-aware and maintained mental faculties on par with humans or elves.
Many of them are built using steel and wood, a blend of organic and inorganic materials. Most warforged have something unique about their designs due to their magical origin as well as individuals 'upgrading' themselves as time goes on. They were originally built to serve and fight as a manufactured army. For most of their existence, warforged had a clearly defined function and were encouraged to focus purely on that role.
The Warforged are an artificial race of living constructs originating in Aeteria, and are often called Aeteronics. Compared to engineered automatons, Warforged are truly sentient and alive, and have been proven to have souls. They were created using divine magic by the Elves of the Imperium Aeternum, by the orders of Pontiffess Circyra II with the blessing of the goddess Eurion.
In the midst of The Great Aurian War, in 3E220 Pontiffess Circyra II sanctioned the creation of a holy army that could give aid to High King Callas and Emperor Sombra. However, Circyra II did not believe in golems or automatons that were unliving. She communed with the plane of Mechanus, and devised a plan to fill a divine hole in the fabric of the world. With the help of the plane of Mechanus, the goddess Eurion, as well as Dr. Volnax Blackwood I, she created the first artifical soul and the first warforged, Ultros. He ascended to become the new god of balanced creation, but rejected the war after becoming a god. He transformed the artificial souls of all Warforged into true mortal souls, with this being the first and only gift to his brethren. After the war, the Warforged were set free and given equal rights by the Lunar Treaty, under direct command by Ultros himself.

Their freedom was somewhat traumatic for the warforged who were accustomed to having a single purpose with orders and instructions. In the Crimson Empire, the warforged became indentured servants instructed to repair the damage of war whilst in Terros, The Collective, and other nations the warforged became idle after losing their only purpose in life.
The idle warforged stood still in fields for days, hoping they'd receive orders but it wasn't until after a few weeks that they learned that the orders would never come. Instead, warforged began to band together to seek out new purposes whilst others searched for leaders within their own race to give them meaning.
Despite the warforged's peaceful nature, many citizens of Aurial see them as reminders of a dark past. Some still see them as implements of destruction, killing machines and equipment made in the form of a man, and see them as a danger that must either be destroyed or removed from society. Terros generally has the least liberal social attitude towards warforged. Most Terrosi see them only as machines rather than individuals due to their part in the civil war. Many Dwarves of Nûzabad endorse anti-warforged organizations and advocate the banishment and even the murder and melting down of warforged due to their usage against the dwarves during the war.

Dr. Volnax Blackwood I would later help make further warforged units known as Faithforged and Siegeforged for the Crimson Army. After considerable controversy and debate regarding automaton rights, they stopped producing Faithforged themselves and now only have existing automatons sign up for the division if they wish to. The Faithforged have many modifications that improve their combat strength, as well as some innate spells.