Across:

1. SHIP - a large vessel used for transporting goods or passengers by sea
2. BOAT - a small vessel for travelling on water, typically propelled by oars, sails, or an engine
3. RAFT - a flat floating structure for travelling across water
4. STEAMER - a boat or ship driven by steam

Down: 5. CANOE - a small, light, narrow boat, pointed at both ends and moved using a paddle 6. TUGBOAT - a boat with a powerful engine which can change direction easily and is used to pull large ships into and out of port 7. YACHT - a boat with sails and sometimes an engine, used for either racing or travelling for pleasure, rhymes with 'cot'