Sabadell was with its textile mills a pioneer in the industrial revolution in northeastern Spain (Catalonia), together with  neighbour city Terrassa. In the mid-19th century, it became the most important wool city in Spain, sometimes nicknamed the "Manchester of Catalonia". Today many mills from that period can still be seen, with most of them having been refurbished into residential buildings or other services.

Nowadays Sabadell is basically a commercial and industrial city.