Up until the 18th century, the inhabitants of Chadderton raised domestic farm animals, supplementing their incomes by the spinning and weaving wool in the domestic system. Primitive coal mining was established by the 17th century, and the factory system adopted in the late-18th century. During the Victorian era, Chadderton's economy was heavily dependent on manufacturing industries, especially the spinning of cotton, but also the weaving of silk and production of hats. By the 20th century the landscape was covered with over 50 cotton mills. Industries ancillary to these sectors, including coal mining, brick making, mechanical engineering, and bleaching and dyeing were present. Chadderton developed an extensive coal mining sector auxiliary to Chadderton's cotton industry and workforce. Coal was transported out of the township via the Rochdale Canal. The amount of coal was overestimated however, and production began to decline even before that of the local spinning industry; Chadderton's last coal mine closed in 1920.