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The township is named for the River Clyde in Scotland. In 1825, a Scotsman Robert Smart, with the backing of Detroit interests, built a mill on the Black River. Smart named the place "Clyde Mills", after the river in where he had lived as a boy. Clyde Township was organized in March 1836 and took its name from the settlement. When first organized, Clyde Township encompassed the area of what are now 20 townships. When Kimball Township was set off in 1855, the settlement by which Clyde Township derived its name became part of a different township. The settlement in Kimball Township is now known as Wadhams.