State and territory are political-geographic terms whose meaning depends on the country. In a federation, a state is usually a constituent political unit with constitutionally recognized powers. A territory is often administered under powers granted by the national/federal government and may have less constitutionally entrenched autonomy.
Australia and the United States provide common examples, but their systems are not identical.
At a glance
| Point | State | Territory |
|---|---|---|
| Constitutional position | Usually entrenched constituent unit | Often created/governed under federal authority |
| Self-government | Typically broad within constitutional division of powers | Can range from extensive self-government to direct administration |
| Federal representation | Often full/equal in one legislative chamber | May have reduced or different representation |
| Power to alter status | Usually difficult without constitutional process | National government may have more flexibility |
| Examples | US states; Australian states | US territories; Australian Northern Territory/ACT |
State
A constituent political unit of a federation with powers defined or protected by the national constitution.
Territory
An area under national sovereignty whose government and powers are often established by federal/national legislation rather than equal constitutional status.
Australia
Australian states predate federation and have constitutionally recognized status. The mainland territories exercise significant self-government, but the Commonwealth Parliament has broader constitutional power over territories than over states.
United States
US states have equal representation in the Senate and constitutional status. Organized territories such as Puerto Rico or Guam have different relationships with the federal government and do not have the same congressional voting representation as states.
Why the terms cannot be generalized globally
A ‘territory’ can mean an overseas dependency, capital district, indigenous administrative area or simply a geographic unit. A ‘state’ can mean an entire sovereign country as well as a federal subdivision. Always specify the country.
Frequently asked questions
Can a territory become a state?
In some countries yes, through a political/legal process.
Do territories have their own laws?
Many do, but the scope of self-government varies.
Is a province the same as a state?
It can play a similar federal role in countries such as Canada, but constitutional arrangements differ.
What does ‘state’ mean in international law?
It can mean a sovereign country, which is different from a US or Australian state.
Sources and further reading
KnowDifferences Editorial Team
Independent explanations with definitions, practical examples and references. Read our editorial approach.