There was very little shipping on Lake Erie till after the War of 1812. The first American vessel launched in these waters had a curious history. After a season's work in 1797 she was carted past Niagara and launched on Lake Ontario, where she plied between Queenston and Kingston under the British flag with the name of Lady Washington. The rival Hudson's Bay and North-West Companies each had a few boats on the western Lakes at the beginning of the nineteenth century, and the government maintained there a tiny flotilla of its own. But shipping was a very small affair west of Niagara for several years to come.

While the War of 1812 killed out the feeble trade on the Lakes, it greatly stimulated the well-established trade in sea-going craft from Quebec and the Maritime Provinces. The British command of the sea had become so absolute by 1814 that the whole American coast was practically sealed to trade, which was thus forced to seek an 'underground' outlet by way of Canada, in spite of the state of war. This, in addition to the transport required by the British forces in Canada, sent freights and tonnage up by leaps and bounds. The only trouble was to find enough ships and, harder still, enough men.

Canadian sailing craft in the nineteenth century had a chequered career. Many disturbing factors affected the course of trade: the cholera of '32; the Rebellion of '37; the Ship Fever of '47; the great gold finds in California in '49 and in Australia in '53; Reciprocity with the United States in '54; Confederation in '67; the triumph of steam and steel in the seventies; and the era of inland development which began in the eighties.

The heyday of the Canadian sailing ship was the third quarter of the nineteenth century. This period, indeed, was one of great activity in the history of mast and sail all the world over. There was intense rivalry between steam and sail. The repeal of the Navigation Act in England had brought the whole of British shipping into direct competition with foreigners. The Americans were pushing their masterful way into every sea. The rush to California was drawing eager fleets of Yankee, Bluenose, and St Lawrence vessels round the Horn. India, China, and Australia were drawing other fleets round the Cape. The American clippers threatened to oust the slower 'Britishers' and throw the comparatively minor Canadians into the shade. For the first and only time in history American tonnage actually began to threaten British supremacy. But the challenge was met in the proper way, by building to beat on even terms. The British had already regained their lead before the Civil War of the sixties; and the subsequent inland development of the United States, with the momentous change from wood and sails to steel and steam, combined to depress the American mercantile marine in favour of its British rival.

Canada played a great part in this brief but stirring era, when the wooden sailing vessel was making its last gallant stand against steam, and the sun of its immemorial day was going down in a blaze of glory which will never fade from the memories of those who love the sea. Canada built ships, sailed ships, owned ships, and sold ships. She became one of the four greatest shipping centres in the world; and this at a time when she had less than half as many people and less than one-tenth as much realized wealth as she has now. Quebec had more than half its population dependent on shipbuilding in the fifties and sixties. In 1864 it launched sixty vessels, many of them between one and two thousand tons. About the same time Nova Scotia launched nearly three hundred vessels and New Brunswick half as many. The Nova Scotians, however, only averaged two hundred tons, and the New Brunswickers four hundred. If the Lakes, Prince Edward Island, the rest of Canada, and Newfoundland are added in, the total tonnage built in the best single year is found to be close on a quarter of a million. Allowing for the difference in numbers of the respective populations, this total compares most favourably with the highest recent totals built in the British Isles, where the greatest shipbuilding the world has ever seen is now being carried on.

It was the change from wood to metal that caused the decline of shipbuilding in Canada. It was also partly the change to steam; but only partly, for Canada started well in the race for building steamships. What proves that the disuse of wood was the real cause of the decline is the fact that Canada never even attempted to compete with other countries in building metal sailing vessels. If Canada had developed her metal industries a generation sooner she would have had steel clippers running against 'Yankees,' 'Britishers,' and German 'Dutchmen'; for there was a steel-built sailing-ship age that lasted into the twentieth century and that is not really over yet. Indeed, even wooden and composite sailers are still at work; and with their steel comrades they still make a very large fleet. Singular proof of this is sometimes found. Nothing collects sailing ships like a calm; vessels run into it from all quarters and naturally remain together till the breeze springs up. But, even so, most readers will probably be surprised to learn that, only a few years ago, a great calm off the Azores collected a fleet of nearly three hundred sail.

Canadian shipbuilders had some drawbacks to contend with. One was of their own making. Certain builders in the Maritime Provinces, especially at Pictou and in Prince Edward Island, turned out such hastily and ill constructed craft as to give 'Bluenoses' a bad name in the market. By 1850, however, the worst offenders were put out of business, and there was an increasing tendency for the builders to sail their own vessels instead of selling them.

A second, and this time a general, drawback was the difficulty of getting Canadian-built vessels rated A1 at Lloyd's. 'Lloyd's,' as every one knows, is the central controlling body for most of the marine insurance of the world, and its headquarters are in London. There were very few foreign 'Lloyd's' then, and no colonial; so it was a serious matter when the English Lloyd's looked askance at anything not built of oak. Canada tried her own oak; but it was outclassed by the more slowly growing and sounder English oak. Canada then fell back on tamarac, or 'hackmatac,' as builders called it. This was much more buoyant than oak, and consequently freighted to advantage. But it was a soft wood, and Lloyd's was slow to rate it at its proper worth. Tamarac hulls went sound for twenty years, and sometimes forty, especially when hardwood treenails were used—a treenail being a bolt that did the service of a nail in woodwork or a rivet in steel plating. At first Canadian vessels were only rated Al for seven years, as compared with twelve for those built of English oak. A year was added for hardwood treenails, and another for 'salting on the stocks.' In 1852 Lloyd's sent out its own surveyor, Menzies, who would guarantee work done under his own eye for twenty-five cents a ton; while Lloyd's, for its part, would give preferential rates to any vessels thus 'built under special survey.' Perhaps Canadian timber is not as lasting as the best European. Certainly it has no such records of longevity; though there is no reason why Canadian records should not be better than they are in this respect. Few people know how long a well-built and well-cared-for ship can live. Lloyd's register for 1913 contains vessels launched before Queen Victoria began to reign. Merchantmen have often outlived their century. Nelson's Victory still flies the flag at Portsmouth, though she was laid down the year before Wolfe took Quebec. And the Konstanz, a thirty-five-ton sloop, still plies along the Danish coast, although her launch took place in 1723—a hundred and ninety years ago.

A third drawback for Canadian builders was the lack of capital. Shipbuilding fluctuates more than most kinds of business, and requires great initial outlay as well; so failures were naturally frequent. The firm of Ross at Quebec did much to steady the business by sound finance. But the smaller yards were always in difficulties, and no shipbuilder ever made a fortune.

Excellent craft, however, came out of Canadian yards: notable craft wherever they sailed. One of the best builders at Quebec was a French Canadian, whose beautiful clipper ship Brunelle, named after himself, logged over fourteen knots an hour and left many a smart sailer, and steamer too, hull down astern. Mackenzie of Pictou was builder and skipper both. With the help of a friend he began by cutting down the trees and doing all the rest of the work of building a forty-five-ton schooner. By 1850 he had built a fourteen-hundred-tonner, the famous Hamilton Campbell Kidston, which greatly astonished Glasgow, for she was then the biggest ship the Clyde had ever seen. His last ship was launched in the 'record' year of 1865. The Salter Brothers did some fine work at the 'Bend,' as Moncton was then called. Their first vessel, a barque of eight hundred tons, was sold at once in England. Next year they built a clipper ship called the Jemsetgee Cursetgee for an East Indian potentate, who sent out an Oriental figurehead supposed to be a likeness of himself. A peculiar feat of theirs was rigging as a schooner and sending across the Atlantic a scow-like coal barge ordered by a firm in England.