The origin of Coedpoeth is from Celtic coed "wood" with poeth meaning hot. Its name translates into English as meaning burnt wood or hot wood, which is popularly believed to derive from the production of charcoal for the smelting of iron and lead that was carried out in this area as far back as Roman times. The village was surrounded by natural resources such as lime, iron ore, coal, and lead, and many ruins show the industrial past of the area.
The village of Coedpoeth now covers area's that were once separate:

• The Nant to the South was supported by two mills on the River Clywedog and by the late 18th century had become a centre of industrial activity.
• Yr Adwy'r Clawdd to the North East was named after a gap in Offa's Dyke where merchant traffic passed. The Dyke stretches the length of Wales from Prestatyn to Chepstow and was built in the 8th century. Cattle drovers, some of whom went as far as London, had to pay to pass through Offa’s Dyke at the toll gates. Part of the original dyke still remains.
• Talwrn to the North West was home to several small scale coal mines. The first recorded reference to coal mining was in 1411 and was extracted from the area up until 1945.
• The Smelt to the East, so named as it was where Smelting was believed to take place. Charcoal fuelled the smelt until the late 18th century when it was gradually replaced by coal in the form of coke.

Coedpoeth has been home for many remarkable people. Among them are the founder of the International Music Eisteddfod, A Channel Tunnel Engineer, many world renowned musicians, preachers, teachers, authors and successful business achievers.

Coedpoeth is surrounded by beautiful countryside with views of the Cheshire plain, the town of Wrexham, Minera Mountain and the neighbouring Clywedog valley. The highest point of the village is Rock Place which is 800 feet (245 metres) above sea-level.