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Eupen is the capital city of the so-called Eastern Cantons (the German-speaking area in the east of Belgium). The city of Eupen has a population of about 17.000 people . Eupen lies in the Vesdre River Valley, near the German border and just downstream from the Gileppe Dam, which was installed to provide a reliable water supply to the town. It is a center for the manufacture of soap, beer, and cables. Nearby is a major hydroelectric station. The districts of Eupen and Malmédy (c.380 sq mi/980 sq km) were awarded (1815) to Prussia by the Congress of Vienna. Strategically important for the defense of Belgium, the districts were transferred (1919) to Belgium under the terms of the Treaty of Versailles. Their population is predominantly German-speaking. During World War II the districts were temporarily annexed (1940–44) by Germany.

It used to be a center of cloth industry in former centuries. It is now mainly an industrial and trade center. Eupen is beautifully situated on the edge of dense forests (the 'Hertogenwald' or 'Duke's Forest) and alongside the rivers Vesder and Gospert.

The look of the city is defined by the numerous 17th and 18th century houses of the rich cloth traders.
The main church (St Nicholas church) was built in 1721 in Baroque style. The main altar is the work of Johan Josef Couven, an architect from the near-by German city of Aachen. This lovely city can be described as lying in 'an area without frontiers'. Indeed, Holland, Germany, Luxembourg, France are all close-by.

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