When Ohio became a state in 1803, it was sparsely populated, with roughly 50,000 people scattered about the land. Although the state was rich in agriculture, there was no way to transport the goods to the larger markets. The solution to the problem was a canal that would connect Lake Erie to the Ohio River. After several years of planning and surveying the land, the final path was chosen. The canal was to originate at Lake Erie in Cleveland, travel through the heart of Ohio, and end at the Ohio River in Portsmouth.

The Construction of the Ohio & Erie Canal finally began on July 4th, 1825. The canal was constructed in sections, starting with the northern section. In 1827, the Cleveland to Akron section was completed, followed by the Akron to Massillon section in 1828, the Massillon to Dover section in 1829, the Dover to Newark section in 1830, the Newark to Chillicothe section in 1831, and finally the Chillicothe to Portsmouth section in 1832.

The completion of the canal brought prosperity and growth to Ohio. Farmers now had an easy mode of transportation for their goods. Numerous villages were born from the canal's presence through the area. Ohio became the third most prosperous state in the U.S. during the 1840's. The canal's golden age lasted from 1832-1860.

The destructive flooding in 1860 left several sections of the canal impassable. The state decided to lease the canal to private owners a year later. Little maintenance was done by the new owners, and some sections fell into disrepair. The state took back the canal from the lessee's in 1879, after discovering the horrible condition in was in. It wasn't until 1904 that an effort was finally made to start rebuilding the damaged canal. Nearly all of the locks from Trenton to Cleveland were repaired and lined with concrete.

The canal was opened after the repairs were completed, but it was mostly used to transport goods in the northern section of the state. By 1911, most of the southern sections of the canal were completely abandoned. The railroad and developing road system were major factors in the canal's demise. The canal boats couldn't compete with the trains, which traveled nearly 10 times as fast.

The final blow to the canal was the Great Flood of 1913. The flood caused extensive damage to the canal, as well as the rest of the state. Many areas were almost completely destroyed by the flood. The canal was no longer used for long distance hauling after the disaster, but some places still used it locally. By the 1920's, practically all interest in the canal had ceased.