A method for performing dynamic design sensitivity analysis of vehicle suspension systems which have three dimensional closed-loop kinematic structure is presented. A recursive form of equations of motion for a MacPherson suspension system is derived as basis for sensitivity analysis. By directly differentiating the equations of motion with respect to design variables, sensitivity equations are obtained. The direct generalize for the application of multibody dynamic sensitivity analysis. Based on the proposed sensitivity analysis, optimal design of a MacPherson suspension system is carried out taking unsprung mass, spring and damping coefficients as design variables.