In order to research the cooling performance of engine water jacket, the CFD method and the software Fluent were used to analyze and optimize the capability. After building and meshing the three-dimensional jacket model, the coolant flow distribution and heat transfer coefficient distribution in jacket were obtained by simulating, and the deviation between simulation results and experimental data dose not exceed 5.3%. The current imbalance problem of heat transfer in water jacket was studied, and an optimization scheme was proposed according to the analysis of flow distribution in each cylinder water hole. The result of optimization program analysis and comparison indicates that the water jacket cooling performance has been significantly increased, the overall structure of water jacket is more reasonable, and these make engine get better cooling.