The town's first major industry was the lumber trade. It was highly successful during the mid- to late 19th century. The most notable business that developed during this era was the Wallaceburg Cooperage Company. It was opened by David Alexander Gordon and his uncle Captain James Steinhoff in 1887. By the end of the 19th century it was difficult to make large profits off of a declining hardwood supply. Industrialists needed to find other business ideas to sustain the local economy.