Chenille may refer to either a type of cored yarn or fabric made from it.

Chenille, the French word for caterpillar, is typically used to describe a type of fabric. Many fabrics, such as mohair and wool, get their names from the fibers with which they are made. Chenille, however, is named from the unique process in which it is made. The chenille yarn is manufactured by placing short lengths of yarn, called the "pile", between two "core yarns" and then twisting the yarn together. The edges of these piles then stand at right angles from the yarn’s core, giving chenille both its softness and its characteristic look. Chenille will look different in one direction compared to another, as the fibres catch the light differently. Chenille can appear iridescent without actually using iridescent fibers. The yarn is commonly manufactured from cotton, but can also be made using acrylic, rayon and olefin.

According to textile historians, chenille-type yarn was produced as far back as the eighteenth century. Back then the yarn was actually made by weaving a "leno" fabric and then cutting the fabric into strips to make the chenille yarn. In the 1930s, usage for the tufted fabric became widely desirable for throws, bedspreads, and carpets, though not popularized for apparel until commercial production in the 1970s. Standards of industrial production were not introduced until the 1990s, when the Chenille International Manufacturers Association (CIMA) was formed with the mission to improve and develop the manufacturing processes. From the 70s each machine head made two chenille yarns straight onto bobbins, a machine could have over 100 spindles (50 heads). Giesse was one of the first major machine manufacturers.

One of the problems with chenille yarns is that the tufts can work loose and create bare fabric. This was resolved by using a low melt nylon in the core of the yarn and then autoclaving (steaming) the hanks of yarn to set the pile in place.

Many chenille fabrics should be dry cleaned. If hand- or machine-washed, it should be machine-dried using low heat, or dried flat. To avoid stretching, it should never be hung.