Dwarves are the builders of the world. Their affinities are with earth, stone and metal. However it is a misconception that dwarves have no respect for nature for they hold nature in high esteem, considering their own masterwork only a childish copy of the great works done by the gods. Thus - unlike humans - dwarves will generally not use their axes and hammers against something until they have a good reason. A dwarf that cuts a tree is building something and knows very well what it needs the wood for (and most likely, why that particular tree). For this reason dwarves and elves get along better than is normally expected, despite the great differences in their cultures and philosophies. It is said that an elf likes nature best for what it is, while a dwarf loves it for what it can be. Elves say that the world teaches dwarves how to create, while it teaches elves how to live.
Dwarves live in cities which are always amazing structures of stone, sometimes reinforced with metal. Dwarven cities are often in mountaineous terrain and quite isolated. Their lands are well structured and divided into several kingdoms, each ruled by one or more strong clans. Clans have a king and succession generally goes to the youngest son. The kings of dwarves have learned over the years to be fair to their people, those that weren't in the past were roughly removed from office.
All dwarves know some craft, usually stone- or metalwork and profesional craftsmen are highly respected. Those dwarves that are not craftsmen are usually merchants, trading dwarven goods with other races. A minority of dwarves are farmers and a smaller minority yet are 'worlddwellers', dwarves that travel the lands looking for the works of old to learn.
Dwarves allow other races to live in their lands, but are often uncomfortable with any but their own clan.
The kingdoms of dwarves are relatively small but densely populated. Their culture is mostly urban and usually the population of a kingdom is concentrated in a few large cities, with a few dozen smaller cities spread around the land (usually near mines and other natural resources).
All but two of the dwarven kingdoms are located in Asnadan, the center-most of the great islands. The two exceptions are smaller kingdoms located on islands.
There is a significant population of dwarves in Nordland, but they have not formed any kingdoms.