Reed Flute Cave is located in the northwestern section of the city. It is 240 m deep and is probably the largest and most magnificent cave in Guilin. The name of the cave is derived from ludi cao (reed grass), which grows in front of the cave and is used to make flutes. The grass covered the entrance to the cave, so the people of the area used this cave for many centuries as a hideout in times of war.

Tourists enter the cave and then take a U-shaped sightseeing route to see different spots, whereupon they exit it from another cave quite near the entrance one. One trip lasts about one hour. It is a Chinese habit to give each formation a legendary or poetic name such as Crystal Palace, Dragon Pagoda, Virgin Forest, Flower and Fruit Mountain and other interesting names.