Alternative fuels have attracted wide attention owing to the increasing energy consumption and environmental pollution problems, which are caused by the extensive application of diesel engines for various occasions. The Fischer−Tropsch (F−T) diesel synthesized from coal is considered as one kind of ideal alternative fuel for diesel engines; however, its combustion and exhaust emission characteristics are different from those of national diesel owing to its special fuel properties. Therefore, the combustion and emission characteristics of F−T diesel and 0# diesel, which meet the China stage VI were compared in a common rail direct injection (CRDI) diesel engine. Moreover, energy-saving and pollution-reduction potential were analyzed in one CRDI diesel engine fueled with F−T diesel. The results showed that F−T diesel had an earlier ignition point, shorter ignition delay, lower cylinder pressure, and heat release rate compared with those of 0# diesel at the same operating conditions. Meanwhile, the amplitude, oscillation level, and energy of cylinder pressure were decreased to some extent, with the maximum drops of 0.98 bar, 16.4 dB, and 1.01 × 10 12 Pa, respectively. Additionally, under external characteristic conditions, maximum break thermal efficiency (BTE) and break-specific fuel consumption (BSFC) of F−T diesel were reduced by 1.1 and 2.1% on average compared with those of 0# diesel. In addition, CO, HC, NOx, and SOOT emissions of F−T diesel were found to be lower than those of 0# diesel, which were decreased by an average of 8, 3.7, 2.1, and 1.3%, respectively.