Chukha is one of the four southern districts. The commercial hub of Bhutan, Phuentsholing, falls under this district. It is the gateway city along the sole road which connects India to western Bhutan.
With Bhutan's oldest hydropower plant, Chukha Hydroelectricity Project (completed in 1986-88), and Tala Hydropower Project, the country's largest power plant, Chukha is the dzongkhag which contributes the most to the revenue of the country. Also located in Chukha district are some of the country's oldest industrial companies like the Bhutan Carbide Chemical Limited (BCCL) and the Bhutan Boards Products Limited (BBPL).