The prospects for inter-regional waterway linkages in China, both within and between the river basins, are clearly defined by natural conditions. The south is far better endowed than the north or northeast. But development began in the north where the earliest states were established.

The dynastic exploitation of the inter-regional linkages can be differentiated into three stages. During Ch'in and Han the linkages were exploited to unify the northern core regions with the peripheral Yang-tze sub-basin regions, and the fronter Hsi-Pei-Tung basin. After the Han conquest, tribute from the Huang Plain was drawn to the capital to perpetuate this hegemony.

From Sui-T'ang to Sung, there was increasingly innovative military use of waterways to conquer the northern core regions and those of the growing south. The Grand Canal was constructed to link the south and the north. Its operations were characterized by significant hydraulic and nautical innovations. These measures secured the integration of north and south.

From Yuan to Ch'ing military use of waterways remained more or less important only for the conquest of the south. The tribute waterway was extended to a new capital at the north of the Huang Plain. However, the tribute operation depended on anachronistic technology.

Commercial exploitation of the waterways can also be differentiated into three stages. From late Chou through Ch'in-Han, commercial shipping was concentrated on the seasonal rivers of the north where the states found regulation easy. From Sui-T'ang to Sung, waterway commerce was characterized by a cumulative expansion of private shipping in the south. The states tried to adjust but finally abandoned regulation for direct taxation. Yuan, Ming and Ch'ing reimposed traditional regulations and direct taxation. Imperial administration became increasingly centralized, while commercial shipping--mostly in the south--continued to expand despite regulation.

This pattern of waterway development is significant for two reasons. First it demonstrates the great influence of natural conditions. Second it shows that the traditional exploitation of waterways was dominated by imperial priorities rather than by economic considerations.