Dan Gar is an old trading town along the Silk Road. The city is about 40 kilometers away from Xining. It is over 600 years old.
Dan Gar is located on the north bank of the Yellow River, connecting the Loess Plateau with the Qinghai-Tibet Plateau.
During the period of the West Han Dynasty Dan Gar gradually became a major city in the trade. The Tang dynasty founded the first horse market. At the time of the Song Dynasty, Dan Gar became the hub of the Southern Silk Route and in the Ming Dynasty the largest switching center in the north-western region.