The effects of recirculated exhaust gas on the characteristics of fuel economy combustion and exhaust emissions have been experimentally investigated by a four-cylinder four cycle indirect injection water-cooled and marine diesel engine operating at several loads and speeds. in order to reduce the soot contents in the recirculated exhaust gas to intake system of the engine a novel diesel soot removal system with a cylinder-type scrubber which has 6 water injectors(A water injector has 144 nozzles in 1.0 mm diameter) is specially designed and manufactured for the experiment system The experiments in this study are performed at the fixed fuel injection timing of $15.3^{circ}$ BTDC regardless of experimental conditions, The brake specific fuel consumption rate is slightly fluctuated with EGR in the range of experimental conditions, The maximum value of premixed combustion for the rate of heat release is decreased with EGR at engine load 25% and the ignition is slightly delayed with EGR at engine load 100% NOx emissions are markedly decreased with EGR especially at high loads while soot emissions are increased as the EGR rate rises.