This paper proposed an application of expert system to submarine arrangement design. Since all components of the submarine should be placed in a restricted place called pressure hull, expert knowledge has great effects on design of submarine arrangement. In this regard, a suitable knowledge-based expert system shell was applied to design of submarine arrangement process. To use expert system on the design of submarine arrangement effectively, a template model for submarine arrangement, which is proper to use in optimum design process, was developed. The proposed system was applied to simplified example of submarine arrangement problem to choose optimal design alternative. From this study, it was verified that expert system could be used in design of submarine arrangement with effect.