Elgoibar is an industrial town located in the province of Gipuzkoa, in the Autonomous Community of the Basque Country, northern Spain. Located in a valley, it is traversed by the Deba river. Elgoibar is nicknamed the "capital city of the Machine tool". Originally the town was called Villamayor de Marquina, but it had been founded in a place called before Elgoibar field. The town came to be known by this name a few centuries of its foundation.