The palace features statues of armored soldiers, horses and temples.

Chengde has the distinction of being one of the few places in the Beijing-Tianjin-Hebei region that can boast of having almost virgin environmental credentials, and the authorities take their job of safeguarding the environment in the area very seriously. Doing so helps ensure that the area remains a major source of fresh water for Beijing.

The city has settled on tourism, among other environmental-friendly businesses, to develop the local economy, and an international tourism festival is held each year between late June and early September.

The theme of this year's festival was self-drive holidays following a route that royal families once used.

The route takes in historic sites, including the Great Wall and the Summer Mountain Resort of Emperor Kangxi (1662-1722), forests and grasslands, and places of interest for their ethnic elements, says Li Siquan, deputy director of Chengde tourism authority.

The events held at this time of the year include the Federation Equestrian International's one-star endurance match, a cross-country race across the Great Wall's Jinshanling section, a lotus flower festival at the Summer Mountain Resort of Emperor Kangxi, hiking in Xinglong, famous for its fresh air, and a vintage car tour. Visitors can also ride horses on farms in Fengning.

"Chengde was practically a second capital during the Qing Dynasty (1644-1911), and so a lot has happened here," Li says.