The municipality is situated off the mainland coast of Sunnmøre, on an island named Hareidlandet, which it shared with Ulstein Municipality, the commercial capital of the area. Hareid is regarded as the cultural capital with its annual "Hareidsstemne" and many choirs. It is also an important traffic hub in Sunnmøre and is connected by ferry to the neighboring island of Sula which in turn is connected to the city of Ålesund and the island of Valderøya. The municipality is connected to the mainland via the Eiksund Bridge and Eiksund Tunnel through Ulstein.