Abies fraseri is restricted to the southeastern Appalachian Mountains in southwestern Virginia, western North Carolina and eastern Tennessee, where it occurs at high elevations, from 3,900 ft (1,200 m) to the summit of Mount Mitchell, the highest point in the region at 6,684 ft (2,037 m). It lives in acidic moist but well-drained sandy loam, and is usually mixed withPicea rubens (Red spruce). Other trees it grows with include Tsuga caroliniana (Carolina hemlock), Betula alleghaniensis (Yellow birch), Betula papyrifera (Paper birch), and Acer saccharum (Sugar maple). The climate is cool and moist, with short, cool summers and cold winters with heavy snowfall. It lives in sites that experience frequent cloud coverage, which, when paired with cooler temperatures, improves plant water status and high soil moisture.
Abies fraseri is suited to a cool maritime climate with annual rainfall of >1250 mm well distributed across the year. Cold hardy in Britain but can be vulnerable to late frosts and does not withstand exposure or drought. Grows on soils of poor to rich nutrient status provided these have fresh to moist soil moisture but avoid very poor, very dry or peat soils. Suffers badly from heather competition. The preference is for deep, well-drained soils on cool, moist sites.