The presence of excessive background noise in hydrodynamic noise experiments conducted in circulating water tunnels can significantly impact the accuracy and reliability of experimental test results. To address this issue, it is crucial to evaluate and optimize the background noise during the design stage. In this research, acoustic field model and fluid–solid coupling numerical calculation model of circulating water tunnels are established. Utilizing the finite element method, we analyze the flow noise and flow-excited noise resulting from wall pressure pulses in the circulating water tunnel. Furthermore, we conduct a noise contribution analysis and explore strategies for structural vibration noise control. The results demonstrate that both flow noise and flow-excited noise decrease with increasing frequency, with flow-excited noise being the primary component of the tunnel’s background noise. The presence of resonant peaks significantly contributes to the elevated flow-excited noise levels. Moreover, enhancing structural stiffness and damping proves less effective in suppressing low-frequency peaks. Additionally, employing sound measurement pods suspended from the side of the test section for noise measurement exhibits a high error rate at low frequencies. This research provides insights into optimizing background noise in water tunnels, thereby informing future enhancements in tunnel design.