Mudanya, was founded in the 7th century B.C. by the Kolofonians under the name Myrleia. It was captured and destroyed by the Bithynia King Prusias and Macedonian King Philippos in the 3rd century BC. When Philippos gave this area to his son-in-law Prusias, he established a new city to replace Myrleia and named the city Apameia after his wife Apame. Apameia became the Roman Empire's first colony in Anatolia. During the 4th Crusades, a French crusader army, who came to Mudanya and its surroundings, named the city Montaneia. The name Mudanya is derived from the change of the name Montaneia.

Conquered by Orhan Gazi in 1321, Mudanya became a commercially important port as an export pier for the production of raw silk, which has developed in Bursa and its surroundings since the 19th century, as well as olive and olive oil production. Railway transportation was provided between Bursa and Mudanya

On June 25, 1920, the invasion attempt of the British failed when a hero soldier named Şükrü Çavuş opened fire. Mudanya, which was occupied by the naval war fleet and airborne warplanes bombing on July 6 , was liberated from the occupation by the Kocaeli Group troops under the command of Halit Pasha on September 12, 1920.

Mudanya also hosted the Mudanya Armistice Agreement, which took place on October 3-11, 1922, ended the period of the War of Independence, where Trakia was taken back, the Bosphoruses were left to the government of the Turkish Grand National Assembly. The Turkish Grand National Assembly was officially recognized with this agreement.

 Mudanya is neighbor with Karacabey in the west, Bursa in the south and Gemlik in the east. Gemlik Bay is located to the north. Two neighborhoods of Mudanya were formerly a town (Tirilye and Güzelyalı). There are 36 villages in Mudanya and 8 neighborhoods in the center. The population of the district, which receives continuous immigration, has exceeded 100,000. Mudanya, which has been an important port city for centuries, continues to serve as the "port of Bursa" today. Bursa's sea route connection with Istanbul is carried out from Mudanya and Güzelyalı.

Olive cultivation is the primary source of income for the people of the district. In addition, other agricultural activities such as vegetable and fruit growing, sunflower, onion are also favourite. Most of the business volume in the district consists of import-export transactions. Recently, tourism is a prominent sector.