[15] European settlement at Thunder Bay began with two French fur trading posts (in 1683 and 1717) which were subsequently abandoned (see Fort William, Ontario).

The discovery of copper in the Keweenaw Peninsula of Michigan had prompted a national interest in potential mining locations on the Canadian shores of Lake Superior.

Another settlement developed a few miles to the north of Fort William after construction by the federal Department of Public Works of a road connecting Lake Superior with the Red River Colony.

The CPR, in collaboration with the Hudson's Bay Company, preferred east Fort William, located on the lower Kaministiquia River where the fur trade posts were.

Provoked by a prolonged tax dispute with Port Arthur and its seizure of a locomotive in 1889, the CPR relocated all its employees and facilities to Fort William.

In the era of Sir Wilfrid Laurier, Thunder Bay began a period of extraordinary growth, based on improved access to markets via the transcontinental railway and development of the western wheat boom.

A large uninhabited area adjoining the Neebing and McIntyre rivers, which became known as Intercity, separated Fort William from the residential and central business district of Port Arthur.

At the extreme east of the city, a part of McIntyre Township was annexed to the town of Port Arthur in 1892, forming what later became known as the Current River area.

[citation needed] The former Port Arthur section is more typical of the Canadian Shield, with gently sloping hills and very thin soil lying on top of bedrock with many bare outcrops.

[27] Winters are comparatively dry with the snowfall being somewhat limited and temperatures much colder than in Houghton, Michigan, on the U.S. side of the lake, where the climate is marked by heavy lake-effect snow.

[68] Alstom operates a 553,000 square feet (51,400 m2) plant in Thunder Bay which manufactures mass transit vehicles and equipment, employing approximately 500 people.

However, in recent years shipments through the port of Thunder Bay have stabilized, and it remains an important part of the Saint Lawrence Seaway.

[73] To rejuvenate its economy, the city has been actively working to attract quaternary or "knowledge-based" industries, primarily in the fields of molecular medicine and genomics.

[78] The current mayor is Ken Boshcoff and the five councillors at large are: Mark Bentz, Shelby Ch’ng, Trevor Giertuga, Rajni Agarwal, and Kasey (Taylor) Etreni.

In September 2024, two ideas were presented: [82] A large formation of mesas on the Sibley Peninsula in Lake Superior which resembles a reclining giant has become a symbol of the city.

Sibley peninsula partially encloses the waters of Thunder Bay and dominates the view of the lake from the northern section of the city (formerly Port Arthur).

The flag has a 1:2 ratio and depicts a golden sky from the rising sun behind the Sleeping Giant, which sits in the blue waters of Lake Superior.

The shag, a combination shower and stag held to celebrate the engagement of a couple,[87] and the Persian, a cinnamon bun pastry with pink icing, both originated in the city.

Founded in 1971, it offers six stage plays each season and is located in the renovated Port Arthur Public School on Red River Road.

The Thunder Bay Historical Museum Society, founded in 1908, presents local and travelling exhibitions and houses an impressive collection of artifacts, photographs, paintings, documents and maps in its archives.

It houses a large collection of artifacts and photographs, particularly related to the Canadian Car and Foundry factory (Can-Car) which manufactured Hawker Hurricane fighters and Curtiss SB2C Helldivers during WW II.

[101] The marina in downtown Port Arthur, an area known as The Waterfront District, draws visitors for its panoramic view of the Sleeping Giant and the presence of various watercraft.

The marina, known as Prince Arthur's Landing also includes recreational trails along the lake, a playground, harbour cruises, helicopter tours, the Alexander Henry (a retired Canadian Coast Guard icebreaker), a splash pad (summer), a skating rink (winter), and art gallery, gift shop, numerous restaurants, and a newly opened Delta Hotel and conference centre.

Other tourist attractions are listed below: Thunder Bay's proximity to the wilderness of the Taiga and the rolling hills and mountains of the Canadian Shield allow its residents to enjoy very active lifestyles.

Thunder Bay receives air, rail and shipping traffic due to its prime location along major continental transport routes.

[76] The Thunder Bay Port Authority manages Keefer Terminal, built on a 320,000 square metre site on Lake Superior.

Post-secondary institutions in Thunder Bay include Confederation College, Northern Ontario School of Medicine (NOSM), and Lakehead University.

[116] The city publishes a bi-monthly newsletter to citizens titled yourCity, which is also available online in a PDF format, by electronic subscription and RSS feed.

Programming from the Global and CTV networks is provided by a locally owned twinstick operation branded as Thunder Bay Television, and the city receives TVOntario on channel 9.

Lakehead University operates a campus radio station, CILU-FM, at 102.7 FM, and CJOA-FM 95.1 broadcasts Christian-oriented programming from the UCB Canada network.