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Toluca has a cool climate year-round. It was established as a Spanish settlement in 1530 by Hernan Cortes, who had received the Valle de Toluca as a grant from Emperor Charles V. The surrounding plain is fertile, producing grain, fruits, and vegetables. Cattle raising is important. The city has become increasingly industrialized, and has food processing and beverage plants, as well as flour, cotton, and woolen mills. Motor vehicle manufacturing.

The city is still known for its traditional handicrafts. Two small rivers run through the city, and nearby is an inactive volcano, the Nevado de Toluca, called also Xinantecatl and Cinantecatl. Airport.

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