Huayan Temple, located in the southwest of Datong City, is one of the biggest temples in China built in Liao Dynasty. It got its name because it was and remains a major temple of the Huayan sect, a sub-category of the Buddhism popular in north China.

Unlike other temple architecture in China, of which the main halls and buildings are north-south axis, with the façade facing towards the south, Huayan temple is on an east-west axis with the main halls facing the east. It was the result of the custom in Qidan, (a minority tribe living on the northern border of China who set up the Liao Dynasty). Their tradition of praying for the Divinity of the Sun to the east, thus taking East as superior to everything.

The Huayan Temple is divided into two parts: the Upper Huayan Temple and Lower Huayan Temple. In 1963, the two separated temples combined a whole temple.

The Upper Huayan Temple features with a range of gorgeously decorated buildings, the biggest and most illustrious of which is the Grand Hall (Da Xiong Bao Dian), the main hall of the temple. Five Buddha sit up on the frontal of the hall, which are named Five-Direction Buddha civilized the five directions, east, west, south, north and center of the world. The wall was covered by large frescos. The ceiling of the hall, intricately decorated with a variety of color-murals of dragons and phoenix, floras, Sanskrit Buddhist symbols and other geometric patterns, creates a rich visual feast for eyes.

The Lower temple is in the southeast of the Upper temple. Over 18,000 Buddhist Sutra volumes and scripts are preserved there. Compared to the splendid Upper Huayan, the Lower one is of a far more solemn appearance. Three Buddha sit on the Lotus Seat, two sides of them standing comely disciples. Five finely carved wood-structured pavilions in the latter part of the hall are connected by arched bridges. These exquisite wood carved structures are the only remaining examples of their kind in China.