<span style="font-size:14px"><span style="font-family:Arial,Helvetica,sans-serif">Water potential (predawn and mid day), water potential components (osmotic potential at full and zero turgor, relative water content), soil water potential and leaf conductance were measured for two adjacently growing tree species <em>Shorea robusta </em>Gaertn and Pinus <em>roxburghii</em> Sarg. at an elevation of 1370m. The stands were open and the density of <em>S. robusta</em> was 212 trees/ha and of <em>P. roxburghii</em> was 141trees/ha. Presence of high number of saplings indicates both the species were regenerating well in the site despite human disturbance. <em>S. robusta</em> maintained relatively high predawn water potential even in summers (above -0.50MPa) and <em>P. roxburghii</em> showed low predawn water potential in early summer and summer season (above-1.4 MPa). <em>P. roxburghii</em> maintained a relatively small daily change in water potential during early summer and summer season (0.33MPa and 0.27MPa) indicating greater ability of the species to close its stomata as drought intensifies. The values of osmotic potential at full and zero turgor remained more or less constant for <em>S.</em> <em>robusta</em> from monsoon to winter and then declined during early summer. <em>P. roxburghii </em>showed a gradual decline in osmotic potential values from monsoon to winter season. Chir-pine has the ability of invade and grow on sites that are water stressed which can be related to its capacity to show high osmotic adjustment.. The most negative values of soil water potential were in early summer in both years. The morning and afternoon conductance was lowest during early summer and highest in autumn season. </span></span>