During the late 18th early 19th centuries when the UK and parts of Western Europe began to industrialize, the US was primarily an agricultural and natural resource producing and processing economy. The building of roads and canals, the introduction of steamboats and the building of railroads were important for handling agricultural and natural resource products in the large and sparsely populated country of the period.
            The United States originally used horse-powered machinery to power its earliest factories, but eventually switched to water power. As a result, industrialization was essentially limited to New England and the rest of Northeastern United States, which has fast-moving rivers. The newer water-powered production lines proved more economical than horse-drawn production. However, raw materials (especially cotton) came from the Southern United States. It was not until after the Civil War in the 1860s that steam-powered manufacturing overtook water-powered manufacturing, allowing the industry to fully spread across the nation.