1861 American Civil War begins

The American Civil War was between the northern and southern states of America. The war disrupted world trade.

The northern states, also known as the 'Union', stopped ships from entering and leaving southern ports. This meant that American cotton, which was used in Lancashire cotton mills, was in short supply. The northern victory in 1866 brought about the end of slavery on plantations in the southern states of America. It also made sure that all the states were united under a strong federal government eager to expand the United States economy. In the late 19th century many of the latest innovations in the cotton industry were of American origin. The United States was growing cotton, spinning yarn and weaving cloth for export. Many Lancashire cotton manufacturers found it increasingly difficult to keep ahead of the United States.