Shanhua Temple is also called the South Temple because it lies in the southern section of Datong city, just within the confines of the old city walls. 

The temple, originally built in the Tang Dynasty (618-907 AD), was demolished completely by a war in 1122 just before the fall of the Liao Dynasty (916-1125 AD), but was rebuilt from scratch immediately after the ensuing Jin Dynasty (1115-1234 AD) was founded. It underwent further expansion and renovation in the Ming Dynasty (1368-1911 AD). 

Today, the Shanhua Temple proper is a good manifestation of the traditional Chinese architectural philosophy, with most of the buildings located in careful symmetry and all the main constructions standing along a north-south axis. The best of the buildings is probably the Grand Hall, housing 5 Buddhas and 24 divine generals, that stands on a terrace at the far back of the temple. There is also an interesting Dragon Screen in the the temple, although it is no match for the larger Nine Dragon Screen in town. There also still remain a few relics from the temple's early dynasties, including around 30 Liao and Jin statues, and one hall still in strict Tang style.