
The industrial sector in Lyon
Historically, Lyon has been an industrial city for a long time. It was initially renowned for its silk industry. Over time, however, more sectors have developed, and nowadays Lyon is home to factories and companies specialising in a variety of sectors. Are you looking for a new city to find a job or an entrepreneur looking for the best city in Europe to invest in? In either case, here is an overview of Lyon’s industrial sector.
Lyon’s industrial history
Lyon’s industrial heritage stems from its long-standing silk weaving tradition. This began in the 15th century when Lyon became one of the world’s most important centres for the silk industry. This legacy of craftsmanship and precision paved the way for future industrial growth.
During the 19th century, the city embraced the Industrial Revolution, with textile mills lining the banks of the Rhône and Saône rivers. However, this period also saw the diversification of its economy.
The chemical industry began to flourish, with notable companies like the Perret factories and Société chimique des usines du Rhône (SCUR) (which would later become Rhône-Poulenc through a merger with Établissements Poulenc frères).
Lyon was electrified starting from the late 1890s, which boosted the industry and helped sectors such as mechanics and metallurgy. Meanwhile, the automotive industry was growing following the foundation of the first specialised factory in Monplaisir.
It is Lyon’s early industry and diversification that explains why it is now one of France’s most important industrial hubs.


What are Lyon’s main industrial sectors?
Chemical industry
The chemical industry stands as a historic and important cornerstone of Lyon’s economic sectors. Since the 19th century, the sector has developed and today, next to Lyon lies the Vallée de la Chimie (Chemistry Valley), a world-class innovation hub in the sector.
Companies such as Arkema France, Rhodia and BASF are based in Lyon and its metropolitan area. Reflecting Lyon’s commitment to cleantech, many of the city’s companies are dedicated to creating a sustainable chemical industry, including Elkem Silicones and Solvay. Lyon’s private schools and public universities have their own cutting-edge laboratories, allowing for collaboration with businesses.
This creates a wealth of opportunities for entrepreneurs and professionals looking for local partnerships in various fields such as environmental solutions, materials science and polymers.
Digital industry
Lyon has emerged as a major player in France’s digital landscape and is part of the FrenchTech network. Its digital industry comprises hundreds of startups and many large, well-established companies specialising in various sectors, such as software development, video games, cybersecurity and data science. Notable companies include Agicap, Indy, Dimo Software and Tilkee.
With its numerous engineering schools that train innovative minds each year, Lyon is a hotbed for innovation. INSA Lyon, École Centrale de Lyon, ECAM LaSalle and Polytech are just a few examples of schools that prepare students for a career in the digital industry. If you want to establish a company in France, proximity to world-famous engineering schools is a key factor for success. New companies can establish themselves in specialised clusters such as the Digital League or Cluster Lumière.
Lyon’s goal is to focus on multiple objectives: Encouraging and developing sustainable practices in the digital industry Supporting the paradigm shift and digital transformation of businesses Boosting the region’s transformation through its sustainable purchasing policy
Biotechnology
Lyon is a major European hub for biotechnology, with a particular focus on life sciences and health. The city values and promotes human, animal and environmental health. It is home to a robust ecosystem known as the Biodistrict in the Gerland neighbourhood, where global leaders, such as Sanofi-Pasteur or Genzyme are based. It gathers companies (for a total of 5000 jobs), universities and laboratories.
Lyon is also home to Lyonbiopôle, a competitiveness cluster that fosters collaboration between companies, universities and hospitals. This structure provides financial, strategic and administrative support to its members as well as communication tools such as websites and newsletters. With production centres such as Benta Lyon, Axfen Bio, OXB or Vetbiobank, Lyon has become one of the most important specialised manufacturing hubs in France.
Its high concentration of specialised companies and world-class research laboratories make Lyon a hotbed for biotechnology industries.
Energy and cleantech
Lyon’s energy sector is a cutting-edge industry, with a focus on cleantech. The city is a key player in France’s energy transition, prioritising the development of sustainable power sources and smart solutions.
For instance, the Confluence neighbourhood hosts many experiments and innovations in the energy sectors, earning the “Smart Cities and Communities” European call for projects. Lyon’s Chemical Valley, spread over numerous cities in the Lyon metropolitan area, is a major industrial platform also dedicated to developing new energy solutions.
Local engineering schools train students in the energy sector: École Centrale de Lyon, INSA Lyon, etc. These students will then join cleantech companies who are working on tomorrow’s most sustainable energy sources.


The Importance of the industry 4.0 in Lyon
Lyon has fully embraced the fourth industrial revolution, also known as the industry 4.0. This transformation is essential for ensuring the city’s future competitiveness, and involves developing smart factories and using automation and data analytics to boost efficiency and innovation.
This change is supported by the collaboration between Lyon’s robust industrial base and its thriving digital industry. Through partnerships, manufacturers can include technologies such as the Internet of Things (IoT), AI and digital twins to create more responsive and resilient production processes.
Lyon hosts the Sido Lyon event each year, which is a global showcase of the convergence of IoT, AI, XR and robotics. Exhibitors (including companies and research laboratories) and conference speakers demonstrate cutting-edge applications linked to Industry 4.0, such as predictive maintenance and automated quality control. This showcases the importance of the Fourth Industrial Revolution in Lyon’s economic landscape.
Do you want to work in Lyon or to settle your business there?
Lyon is a French city offering opportunities for expats and entrepreneurs alike. If you want to know about Lyon’s economic fabric and start a business there or extend your activities, Business.onlylyon.com will help you find out more. Are you interested in working there? Whatever your needs, we are here to help. If you need any assistance or information, please fill in the form below and we will get back to you as soon as possible!
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