Reservoir quality is critical in tight gas exploration. A systematic study of the petrological, petrophysical, and diagenetic characteristics of the Shanxi Formation sandstones in the north‐eastern Ordos Basin (China) was undertaken to characterize the pore system of these tight sandstones and recognize the distribution of reservoirs favourable for hydrocarbon accumulation. The results suggest that the Shanxi Formation sandstone has low compositional and moderate textural maturity, with its porosity ranging from 0.7% to 11.8% (average 5.97%) and permeability ranging from 0.001 to 2.77 mD (average 0.36 mD). In addition, thin section and SEM observations suggest that the sandstone is dominated by secondary dissolution pores, primary intergranular pores as well as microfractures, and has undergone compaction, cementation, and dissolution. Diagenetic minerals, such as carbonate cements, authigenic quartz, clay minerals, and dissolved feldspar, are identified. Fluid inclusions are observed in healed microfractures of quartz grains and in quartz overgrowths, while the homogenization temperatures of fluid inclusions in healed microfractures and in quartz overgrowth are in the ranges of 92.8–179.1°C (average 134.8°C) and 104.7–169.1°C (average 145.7°C), respectively. Authigenic kaolinite is sourced from the process of K‐feldspar dissolution, authigenic illite is sourced from transformation of smectite and kaolinite, while sources for quartz cements include mineral alteration and pressure dissolution. Selective dissolution of K‐feldspar in the presence of carbonate minerals is observed in the Shanxi Formation tight sandstones due to the different equilibrium constants of carbonate minerals and K‐feldspar leaching, resulting in dissolution pores associated with K‐feldspar. Reservoir quality in the Shanxi Formation tight sandstones is greatly influenced by diagenesis, as compaction and cementation are responsible for the loss of porosity while dissolution accounts for the enhancement of secondary porosity.