Automobile industry has been developed rapidly as a key manufacturing industry in Korea. Meanwhile, air pollution is getting worse noticeably than ever. In the diesel emission, PM (Particulate Matter) and NOx (Nitrogen Oxides) have been exhausted with a great amount and the corresponding emission regulations are getting stringent. In order to develop low emission engines, it is necessary to research on better qualified fuels. Sulfur contained in fuel is transformed to sulfur compound by DOC (Diesel Oxidation Catalyst) and then it causes to the increase of sulfate-laden PM on the surface of catalyst. In this research, ULSD (Ultra Low Sulfur Diesel) is used as a fuel and some experimental results are investigated. ULSD can reduce not only PM but also gas materials because cetane value, flash point, distillation 90%, pour point and viscosity are improved in the process of desulfurization. However, excessively reduced sulfur may cause to decease lubricity of fuel and engine performance in fuel injection system. Therefore, it requires only modest adjusted amount of sulfur can improve engine performance and DOC, as well as decrease of emission.