The purpose of this study is to investigate the specific characteristics of combustion and exhaust emissions on a 4-cylinder common rail diesel engine as EGR rate and the rate of blended bio-diesel was altered. Bio-diesel fuel which is a sort of alternative fuels can be adapted to diesel engine directly without modifying. This study was performed to 2000rpm of engine speed with torque 30Nm while EGR rate and the rate of blended bio-diesel was changed. Decreasing combustion pressure and increasing the rate of heat were occurred when we had changed the EGR rate on the 20% of bio-diesel blended diesel fuel. The maximum pressure of combustion and the IMEP became higher as the EGR rate and the rate of blended bio-diesel were changed. Exhaust gas temperature was increased the higher rate of the blended bio-diesel under the fixed EGR rate. However, it went down as the EGR rate increased. The amounts of CO and Soot were reduced with increasing the rate of the blended bio-diesel without changing EGR rate and raised with increasing of the EGR rate. On the fixed EGR rate, NOx was increased along with growing the rate of the bio-diesel. On the other hand, it was decreased while EGR rate were going up.