Matane was used as a trading post for the Rochelais who were exchanging European goods for furs with the Mi'kmaq people.

In 1672, the land on both sides of the Matane River was granted as a seignory to Mathieu D'Amours, which led to the first settlements shortly after.

In 1893, the main population centre at the mouth of the Matane River separated from the parish municipality and was incorporated as the Village Municipality of Saint-Jérôme-de-Matane, which changed status and name to City of Matane in 1937 when city status was granted.

[1][7] After World War II, Matane merchants decided to strengthen their economic and maritime bonds with the North side of the Saint Lawrence River.

The city is known for its shrimp, which are processed there: the northern prawn (known locally as crevettes de Matane) are renowned throughout the world for their high quality.

Matane has the largest wind farm in Quebec in addition to having two windmill manufacturing plants: Marmen and Enercon.

There is also a pork product processing plant: Les Cuisines gaspésiennes, which exports to the United States and China.

[1] A number of people from Matane and the area are well known locally or internationally, including artist Claude Picher [fr] and NHL player Yves Racine.