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Napoleon's rule came to an abrupt end when he declared war on Prussia in 1870, only to be defeated and captured at Sedan. He abdicated on 4 September, with a Third Republic proclaimed that same day in Paris. On 19 September the Prussian army arrived at Paris and besieged the city. Major city landmarks were pressed into military service, with the Louvre being turned into an arms factory, the Gare d'Orleans (now the Gare d'Austerlitz) into a balloon workshop and the Gare de Lyon into a cannon foundry.

Some Parisians welcomed the occupation forces and accepted their presence and their business. Most simply kept their heads down, enduring the rationing and in some cases exploiting the profitable opportunities that it brought. Some actively resisted, but faced the constant threat of torture and death at the hands of the Gestapo and the pro-Vichy Milice (militia).

It was under Napoleon's rule that Paris in its modern form was created. In 1853 he appointed Baron Haussmann as Prefect, charged with modernising the city. This Haussmann did to a drastic extent, demolishing much of the old city and replacing it with a network of wide, straight boulevards and radiating circuses.

Less positively and very controversially, the ancient market at Les Halles was demolished and replaced with a notoriously ugly underground shopping mall, and the 209m Tour Montparnasse skyscraper was built leading to fears that Paris would become overrun with American-style skyscrapers (a move strongly resisted ever since).

When Hitler invaded France on 14 May 1940 it took the German army only a month to reach Paris, invading through neutral Belgium around the Maginot Line, where the French defenses were massed. Paris fell with virtually no resistance on 14 June. Much of the city's population fled, with 1.6 million of its 3.5 million people leaving between May and June 1940.