During the Cretaceous, terrestrial red beds appear on a global scale. Previous reports have suggested that these red beds were intricately linked to hot paleoclimates and unique paleogeographic configurations. This study focuses on petrological, mineralogical, and geochemical analyses conducted on samples that capture the transition from grey to red mudstone successions dating from the Middle Jurassic to Early Cretaceous within the North Yellow Sea Basin, with a focus to investigate the evolution of lacustrine environments and paleoclimates during their deposition. The findings revealed four episodes of hydrothermal activity occurring during the deposition of the Jurassic grey to Cretaceous red mudstone successions. Some mudstone samples have identified positive Eu anomalies, but the hydrothermal signal may not be as strong due to the open lake environment. Hf vs La/Th and ∑REE vs La/Yb graphs indicate that most grey mudstones originated primarily from upper crustal felsic sources, while certain red mudstones contain mantle material, and the provenance of both has changed significantly. Noteworthy indicators like Sr/Ba, B/Ga, U/Th, Ni/Co, V/Cr and V/(V + Ni) values denote that the sedimentary environments of both grey and red mudstones were oxidized, deviating from conventional viewpoints. However, this deviation may stem from hydrothermal contamination impacting trace elements such as Ni, Co, and Sr. Assessment using indicators like Rb/Sr and Sr/Cu reflects a transition from a warm and wet Jurassic climate to a hot Early Cretaceous climate. Variations in lake levels, prompted by climate fluctuations, led to increased oxygenation on the lake bottoms, resulting in the deposition of red mudstones. These findings suggest a close correlation between the red mudstones and the hot climate, driven by the tectonic evolution of Eastern China. The transformation from grey to red mudstones during the Middle Jurassic to Early Cretaceous periods signifies a response to paleoclimatic and paleoenvironmental changes in East Asia.