The red panda is endemic to the temperate forests of the Himalayas, and ranges from the foothills of western Nepal to China in the east. Its easternmost limit is the Qinling Mountains of the Shaanxi Province in China. Its range includes southern Tibet, Sikkim and Assam in India, Bhutan, the northern mountains of Burma, and in south-western China, in the Hengduan Mountains of Sichuan and the Gongshan Mountains in Yunnan. It may also live in south-west Tibet and northern Arunachal Pradesh, but this has not been documented. Locations with the highest density of red pandas include an area in the Himalayas that has been proposed as having been a refuge for a variety of endemic species in the Pleistocene. The distribution range of the red panda should be considered disjunct, rather than continuous. A disjunct population inhabits the Meghalaya Plateau of north-eastern India.

These animals spend most of their lives in trees and even sleep aloft. When foraging, they are most active at night as well as in the gloaming hours of dusk and dawn. The loss of nesting trees and bamboo is causing a decline in red panda populations across much of their range because their forest home is being cleared.

Red pandas only live in temperate forests in the foothills of the Himalayas. The temperature in this region is generally cool, and there is little annual variation. The southern slopes of the mountains trap the water from seasonal monsoons, supporting forests of firs, deciduous hardwoods, and rhododendrons. A bamboo understory grows in these forests and provides the bulk of the red panda’s diet. However, these swaths of bamboo are only found in narrow bands throughout the red panda’s range. Thus, although red pandas are distributed across thousands of miles of territory, they are restricted to these small, fragile areas because of their dependence on the bamboo plants.