Rotterdam is the second largest municipality in the Netherlands after the capital, Amsterdam by population size, and the largest city in the province of Zuid-Holland (South Holland). The port of Rotterdam is the largest in Europe and was the world's busiest port from 1962 to 2004, when it was overtaken by Shanghai. Rotterdam is situated on the banks of the river Nieuwe Maas ('New Meuse'), one of the channels in the delta formed by the Rhine and Meuse rivers. The name Rotterdam derives from a dam in the Rotte river.
Settlement at the lower end of the fen stream Rotte (or Rotta, as it was then known, from rot, 'muddy' and a, 'water', thus 'muddy water') dates from at least 900. Around 1150, large floods in the area ended development, leading to the construction of protective dikes and dams, including Schielands Hoge Zeedijk ('Schieland’s High Sea Dike') along the northern banks of the present-day Nieuwe Maas. A dam on the Rotte or 'Rotterdam' was built in the 1260s and was located at the present-day Hoogstraat ('High Street').
On June 7, 1340, Count Willem IV of Holland granted city rights to Rotterdam, which then had approximately 2000 inhabitants. Around 1350 a shipping canal, the Rotterdamse Schie was completed, which provided Rotterdam access to the larger towns in the north, allowing it to become a local transshipment center between Holland, England and Germany, and to slowly urbanize.
The port of Rotterdam slowly but steadily grew into a port of importance, becoming the seat of one of the six 'chambers' of the Vereenigde Oostindische Compagnie (VOC), or the Dutch East India Company.
The greatest spurt of growth, both in port activity and population, followed the completion of the Nieuwe Waterweg in 1872. The city and harbor started to expand on the south bank of the river. The Witte Huis or 'White House' skyscraper, inspired by American office buildings and built in 1898 in the French Chateau style is evidence of Rotterdam's rapid growth and success. It was at the time of completion the tallest office building in Europe, with a height of 45 m.
The German army invaded the Netherlands on May 10, 1940. Germany had planned to conquer the country in one day, but after meeting unexpectedly fierce resistance, it finally forced the Dutch army to capitulate on May 14, 1940 by bombing Rotterdam and threatening to bomb other cities. The heart of the city was almost completely destroyed by the German Luftwaffe, and 800 people were killed, while about 80,000 others were made homeless. Ossip Zadkine later captured the event strikingly with his statue Stad zonder hart ('City without a heart'). The City Hall survived the bombing. The statue is now located near the Leuvehaven, not far from the Erasmusbrug in the north of the city. From the 1950s through the 1970s, the city was rebuilt. It remained quite windy and open until the city councils from the 1980s on began developing an active architectural policy. Daring and new styles of apartments, office buildings and recreation facilities resulted in a more 'livable' city center with a new skyline. In the 1990s, a new business center on the south bank of the river, the Kop van Zuid was built.