Located in the bank of the Yellow Sea and the south wing of Jiaodong Peninsula (120°50′- 121°29′E and 36°16′- 37°10′W), Haiyang City enjoys the title of Eastern Hawaii.It is one of the first group opening cities approved by the state.Haiyang is in the center area surrounded by Yantai, Qingdao and Weihai.

Located in the mid-south of Shandong Peninsula, facing the Yellow Sea and connecting the inland of the peninsula, Haiyang enjoys the weather of continent of monsoon type of warm temperature zone. Four seasons are clearly demarcated and the rainfall is plentiful. Here winter is not very cold and summer is not very hot. The frost-free period is more than 200 days. In the recent 30 years, the annual average temperature is 12.0 ℃ and the annual average precipitation is 694.5 mm. The pleasant climate is suitable for traveling and living.

As an agricultural city, the production of grain and oil plays an important role. According to the statistics released by National Statistics Department in 1994, Haiyang ranked 48 among the top 100 counties with regard to the gross production value of agriculture, forestry, animal husbandry and fishing; 37 among the top 100 counties in terms of the gross output of grain and oil. In 1986, it was listed as a peanut-growing base for export by the state. In 1989, it was set as a grain-growing base.

Haiyang City has 27 health care units (including 2 top-levle of the second-grade hospitals), 86 medical personnel with high title of the technical post, 430 with middle title and 1397 technical staff of hygiene. Haiyang has introduced more than 60 sets of advanced medical equipments made in the U.S.A., Japan and Germany. Moreover, over 20 speciality clinics have been set up and gained remarkable achievement. Their advanced equipments and high technology have reached domestic and international advanced level.

In 2002, the GDP of Haiyang amounted to 5.82 billion yuan, the added value for agriculture, industry and the service industry standing at 1.75 billion yuan, 2.66 billion and 1.41 billion respectively. The industrial structure rates of the three industries are 30.0%, 45.7% and 24.3%.

In 2002, the domestic fiancial revenue stood at 498 million yuan. The deposit balance of all the financial institutions hits 4.74 billion yuan, among which 3.74 billion yuan is from saving and the rest from the loan balance.

The per capita net income of the farmers averages 3,269 yuan and the per capita disposal income of the urban inhabitants 6.977 yuan. The average salary of the employees is 9799 yuan a year and the per capita saving is 5503 yuan.