Chapter 6: ontario: the dominant half of the core. Lawrence: niagara falls is an important source of power duh, most rivers do not have the elevation required for significant hydro production (relatively flat landscapes) A loyalist province based on agriculture and forestry: of the roughly 35,000 loyalists who moved to british territory before end of. Immigrants from u. s ( late loyalists ) arrived through the 1790s and early 1800s main exports: 1793- britain and france were at war again, conflict tapered off and revived in. 1803: positive- britain"s need for timber supplies from n. a (demand stimulated forest and shipbuilding industries in maritime and lower canada, and then upper. Canada: negative- britain"s imposition of barrier to trade between b. n. s colonies in u. s in. Interruption to trade came with war of 1812, u. s declares war on britain: expected a warm welcome from former americans who made up majority of.