Leaf gas exchange of upland and lowland rice cultivars were measured during late vegetative and during grain filling stages in the field under upland and lowland growth conditions. The rate of photosynthesis and water use efficiency (the rate of photosynthesis/the rate of transpiration) under upland conditions decreased with ageing, but generally varied little among four cultivars. At mid-grain filling under lowland conditions, upland cultivars showed lower rates of photosynthesis and transpiration than the lowland cultivars with concomitant reduction in whole plant conductance. At this stage, water use efficiency was higher under upland conditions than under lowland conditions, particularly in the upland cultivars. Water stress reduced the rate of photosynthesis without altering water use efficiency.