A more thorough explanation:

Definition: Territorial waters refer to the waters under a state's or nation's jurisdiction, including both inland waters and surrounding sea (traditionally within three miles of the coastline).

Example: The United States claims territorial waters extending 12 nautical miles from its coastline, while Canada claims territorial waters extending 12 nautical miles from its coastline as well.

Explanation: Territorial waters are important for a country's sovereignty and control over its borders. The example illustrates how different countries have different claims to their territorial waters and how these claims can sometimes overlap or conflict with each other.