Archimedes' principle states that when an object is fully or partially submerged in a fluid, it experiences an upthrust equal to the weight of the fluid displaced. This principle explains why objects float or sink based on their density. If an object's density is greater than the fluid, it will sink, and if its density is less than the fluid, it will float. The upthrust force reduces the apparent weight of the submerged object. Applications of Archimedes' principle include determining ship drafts, submarine depths, and fluid densities using instruments like hydrometers.