Tashkurgan is situated near the borders of Afghanistan, Tajikistan and Kyrgyzstan at an elevation of 3,600m. Historically the town was a major stopping point for caravans on the Silk Road and is on the Karakorum Highway, a branch of the Silk Road connecting China to Pakistan.

There is a huge fortress in the north-east corner of the town dating back to the Yuan dynasty and the ruins of a Zoroastrian temple too. Today the town has an important market, particularly for trading woollen goods and especially carpets.