Given its water resources, the economy is based around fishing and aquaculture but also the production of timber and plant materials.

Phu Khe is a mountainous area, but contains forests and plains suitable for farming.

It is located in the centre of Cam Khe district, bordering the Red River to the east, bordering Song Thao to the north, Yen Tap to the south, and Son Tinh and Ta Xa communes to the west.

Hills make up more than half the area of Phu Khe, and it also has many palm plantations, the most in the region.

Today, the system of dykes prevent flooding; this has increased rice production but aquaculture now needs to be done systematically by humans.