When Henri Poincaré reviewed the then competing theories of electrodynamics in the 1890s, he required their compatibility with two principles of mechanical origin—the reaction principle and the relativity principle. Historians of relativity theory have usually focused on the relativity principle and neglected or misinterpreted Poincaré’s concern with the reaction principle. In particular, most of them have interpreted his crucial article of 1900 on “Lorentz’s theory and the principle of reaction” as an attempt to save this principle by assuming an electromagnetic (...) momentum in addition to the momentum of matter. The purpose of this article is to dismiss this interpretation and show that Poincaré had the opposite intention as he spelled out the paradoxical consequences of Lorentz’s violation of the reaction principle. In doing so, he formally introduced a quantity that could later be interpreted as a genuine electromagnetic momentum, developed a fundamentally new understanding of Lorentz’s transformations in relation with the relativity principle and identified the paradoxes that Einstein would later solve by assuming the inertia of energy. (shrink)