This thesis aims to examine the relationship between the Siamese State and Lanna from 1874 to 1933. The research suggests that changes within the relationship between the state of Siam and Lanna, especially the transformation of Lanna from a tributary state into a part of Siamese territory was part of the process of creating a nation-state, which was influenced by western colonialism. The Siamese elite learned the techniques of state administration from the colonial powers and employed similar methods to annex Lanna. Such methods included legislation and law enforcement; dispatching commissioners to oversee the local governing process, reforming tax collection systems in order to support the establishment of the Siamese bureaucratic system, mapping territories, and taking census, developing modern communication and transportation technologies, laying a foundation for education, controlling monastic institutions, and promoting missionary activities. The Siamese elite employed these approaches to use together with establishing kinship ties with the ruler of Chiang Mai. The transformation of the relationship between the Siamese State and Lanna in reign of King Chulalongkorn triggered resentment among local power groups. Some took up arms in revolt, using traditional beliefs as social power to counter the expansion of Siamese power. Moreover, the feeling of division between northern and southern Thais and the ethnic diversity in Lanna contributed to the lack of loyalty towards Siam. Consequently, King Vajiravudh employed a very different governing policy from the previous reign. He attempted to instill western-style nationalism through the modern educational system, publications and "Sua Pa" in order to encourage Lanna people to feel a mutual sense of Thainess with the governing power in Bangkok. Policies to improve the wellbeing of Lanna people were promulgated and trade relations between Lanna and Bangkok were further developed. Moreover, King Prajadhipok's visit to Phayap reaffirmed to the people of Lanna that the supreme governing power was no longer in the hands of northern elite, but belonged solely to the Siamese King.