Vue.js is a progressive JavaScript framework used for building user interfaces. Its template system allows developers to declare the structure of their application using HTML-based syntax enhanced with Vue-specific directives. In a Vue template, you define the DOM structure, and Vue.js handles the data binding and updates. Templates can include dynamic expressions, directives, and event handlers. Vue's reactivity system ensures that changes in the underlying data are automatically reflected in the UI, providing a seamless and reactive user experience. Vue templates are concise and readable, promoting clean and maintainable code. With its modular architecture, Vue.js facilitates the creation of scalable and efficient single-page applications while offering a flexible and approachable development experience.