The Grand Duchy of Luxembourg has a long industrial tradition. The pioneers of the steel industry, which made the wealth of the country in the late 19th and early 20th century, were followed in the 1960s by other major economic sectors.
The oil shock of 1973 transformed the Luxembourg industry and encouraged a service economy with the development of the tertiary sector.
In 2002, ARBED (Aciéries réunies de Burbach, Eich, Dudelange, United Steelworks of Burbach, Eich, Dudelange), the 'giant' Luxembourg steel producer, merged with two other steel companies, Usinor and Aceralia, to become Arcelor, the world leader in steel production. Arcelor merged with Mittal Steel in 2006, creating the ArcelorMittal group, the world's number one steel producer.
Industrial diversification is a permanent economic policy objective. It has promoted the emergence of other industrial sectors, such as the materials industries (DuPont de Nemours, Guardian Glass) and the automotive components industry (Goodyear, Delphi).
Today, more than 90% of Luxembourg's industrial production is destined for export. The industry still accounts for some 10% in value added (GDP) and employment in the country.