Since 600 BC present-day Luxembourg is inhabited by Celtic tribes, like the Belgians. Between 57 and 51 BC the Belgae are defeated by the Roman Empire. The area becomes the Roman province of Belgica and is romanized. Around 256 the Germanic tribe of the Franks enter Belgica and since 296 they rule the area as defender of the border of the Roman Empire. This culminates in the forming of the Frankish Realm. The northern part of present-day becomes a Germanic speaking area, whereas the south remains a Romanic speaking area. The Frankish Realm becomes an independent state, but in 639 the country is divided in Austrasia and Neustria. Both kingdoms are reunited in 719. At the division of the Frankish Empire in 843, present-day Luxembourg becomes part of the Middle Frankish Empire. In 925 the area is annexed to the East Frankish Empire, later continued by the German Empire.

In 963 the county of Luxembourg is founded as one of the feudal states of Germany. Luxembourg is renamed Duchy of Luxembourg in 1354. The Luxembourgian house is in the fourteenth century dominant in Eastern Germany. Since 1443 Luxembourg is ruled by the Burgundians and since 1482 by the Habsburgians. After the division of the Habsburgian countries in 1555 the Netherlands come under control of Habsburg-ruled Spain. In 1568 a rebellion against the Spanish occupation starts and in the northern part the Republic of the United Netherlands form a de facto independent state. Luxembourg remains as part of the southern Netherlands under Spanish rule as the Spanish Netherlands. Between 1648 and 1697 Luxembourg is controlled by France. In 1713 the Spanish Netherlands are acquired by Austria, the area gets known as the Austrian Netherlands. After a revolution in 1789 the United Belgian States are founded, but already in 1790 Austrian rule is restored. In 1794 France invades the Austrian Netherlands and incorporate them into France. After the French defeat in 1815, the Austrian Netherlands are united with the Netherlands and Liege into the Kingdom of the Netherlands. After the French defeat in 1815 Luxembourg becomes the Grand Duchy of Luxembourg, member of the German League in a personal union with the Netherlands.

When Belgium secedes from the Netherlands in 1831, the western part of Luxembourg becomes part of Belgium. The eastern part remains related to the Netherlands. The country considers 1835 to be its year of independence. In 1867 Luxembourg is recognized as independent and guaranteed perpetual neutrality. In the nine teenth century there not yet parties, but one can distinguish liberal and catholic currents. The territory is occupied by and annexed to Germany between 1914 and 1918. Since 1914 the politics is dominated by the catholics of the Parti de la Droite (Party of the Right, PD). In 1917 Léon Kauffman becomes prime minister. He is succeeded by Émile Reuter in 1918. In 1925 he is succeeded by Pierre Prüm of the National Independence Party, but the PD takes over in 1926. Joseph Bech becomes prime minister. He is succeeded in 1937 by his co-partisan Pierre Dupong. During the German occupation 1940-1944 in World War II he leads the government in exile. In 1944 the PD is renamed Chrestlech-Sozial Vollekspartei (Christian Social People's Party, CSV). In 1953 Joseph Bech becomes prime minister again. Luxembourg is a co-founder of the European Communities in 1957 (renamed European Union in 1993). Pierre Frieden succeeds Bech in 1958, but in 1959 Pierre Werner becomes prime minister. After the 1964 elections the CSV forms a coalition with the Lëtzebuergesch Sozialistesch Arbechterpartei (Luxembourg Socialist Workers' Party, LSAP). Pierre Werner remains prime minister until 1974, but in 1969 the LSAP is replaced by the Demokratesch Partei (Democratic Party, DP). The 1974 elections center upon abortion rights, women's rights, inflation, among other issues, and evict the CSV, as well as Werner, from its hold on power. The DP leader Gastorn Thorn becomes prime minister in a coaliton with the LSAP. In 1979 the CSV comes back to power in a coalition under Werner with the DP. The CSV changers partner to the LSAP in 1984 and Werner is succeeded by Jacques Santer. This coalition stays in power until 1999, when a coalition of CSV and DP is formed under Jean Claude Juncker.