Bayi is an important timber and wool producing town, known historically before the 1960s as Lhabagar.

[citation needed] The Bayi Zanchen bridge crosses the Nyang-chu or Nyang River here.

[2] There are 9 villages under the jurisdiction of the subdistrict, with a total population of 21,400, from the Han, Hui, Mongolian, Xibe, Manchu ethnicities.

There has been the extension of two major irrigation channels in the subdistrict to provide for rice farming and the production of other cash crops.

Bayi has a subtropical highland climate with monsoonal influences (Köppen Cwb).