QUOTE (Taran ap Dafydd @ Jun 27 2008, 10:42 AM)

How did the ancient Chinese navigate? They had deep sea naval forces far earlier than the Europeans and were known to cross great distances on land as well. How did they keep track of where they were going? Did they just guide by the stars or had they discovered the compass?
When did they discover the compass?
On the sea, the chinese navigated by :
1) Observing the star - The chinese had a development of astrology dating back to 4000 BC.
2) Compass - one of the "4 great chinese inventions" by the chinese. It was invented sometime during Northern Song period, but an earlier version of compass (known as "Sinan 司南" since warring states period)

A "Sinan 司南" from Han period (primitive form of compass before the Song compass). Magnetism was discovered in China as early as Pre-Qin period through the discovery of magnetite (the material for magnet).
On land, the chinese army navigated by what's known as "
South Pointing Chariot" (
chinese: zhinan che 指南车). Although legend had it that the Yellow Emperor (pre-ancestor of chinese) had invented this tool, most historians regarded South-Pointing Chariot to be invented during 3 kingdoms period by Ma Jun 马钧. The chariot is a two-wheeled vehicle, upon which is a pointing figure connected to the wheels by means of differential gearing. Through careful selection of wheel size, track and gear ratios, the figure atop the chariot will always point in the same direction, hence acting as a non-magnetic compass vehicle.
For more info, you can refer to
http://en.wikipedia.org/wiki/South_Pointing_Chariot
A south pointing chariot used for military navigation.