Three independent cytochrome P450 enzyme families catalyze the three rate-limiting hydroxylation steps in the phenylpropanoid pathway leading to the biosynthesis of lignin and numerous other phenolic compounds in plants. Their characterization at the molecular and enzymatic level has revealed an unexpected complexity of phenolic metabolism as the major route involves shikimate/quinate esters and alcohol/ aldehyde intermediates. Engineering expression of CYP73s (encoding cinnamate 4-hydroxyl ase), CYP98s (encoding 4-coumaroylshikimate 3¢-hydroxylase) or CYP84s (encoding coniferaldehyde 5-hydroxylase) leads to modified lignin and seed phenolic composition. In particular CYP73s and CYP98s also play essential roles in plant growth and development, while CYP84 constitutes a check-point for the synthesis of syringyl lignin and sinapate esters. Although recent data shed new light on the main path for lignin synthesis, they also raised new questions. Mutants and engineered plants revealed the existence of (an) alternative pathway(s), which most likely involve(s) different precursors and oxygenases. On the other hand, phylogenetic analysis of plant genomes show the existence of P450 gene duplications in each family, which may have led to the acquisition of novel or additional physiological functions in planta. In addition to the main lignin pathway, P450s contribute to the biosynthesis of many bioactive phenolic derivatives, with potential applications in medicine and plant defense, including lignans, phenylethanoids, benzoic acids, xanthones or quinoid compounds. A very small proportion of these P450s have been characterized so far, and rarely at a molecular level. The possible involvement of P450s in salicylic acid is discussed.Keywords Cytochrome P450 monooxygenases Á Phenylpropanoid metabolism Á Cinnamate 4-hydroxylase Á C4H Á Coumaroyl-shikimate 3¢-hydroxylase Á C3¢H Á Coniferaldehyde 5-hydroxylase Á CA5H Á F5H Á Lignin Á Sinapate esters Á Rosmarinic acid Á Salicylic acid Á Benzoic acid Á Podophyllotoxin Á Xanthone