Zelezna Ruda, lying in a wild mountainous terrain at an elevation between 710 and 1,214 metres (2,329 and 3,983 ft), is surrounded with thick coniferous woods. Its climate is cool and wet humid continental hemiboreal (Dfb) with moderately cold, long winters and cool summers.

Historical sites include the Church of Panna Maria Pomocna z Hvezdy (with an Eastern-style cupola), the Chapel of St. Barbora (saint of mineworkers) and the Way of the Cross. The local museum and information centre are located in a house, which was the home to a well-known family of glassmakers in the past. There is an exhibition of traditional glass, documents and photographs concerning history available all year round.

The train tunnel goes under Špicak peak. The tunnel is 1,747 m (5,732 ft) long and it was the longest railway tunnel in the Czech Republic until 2007.