In this paper, to counteract a cross-polarization interference caused by co-channel dual polarization technique of digital radio relay system(DRRS), we analyze the theoretical model and digital design of cross-polarization interference canceller(XPIC). In addition a complex adaptive time domain equalizer(ATDE) is designed using a finite impulse response filter, and the structure of XPIC and its control method are also illustrated including ATDE. Our computer simulation shows that about 25 dB signature and more than 23 dB XPIC improvement factor can be obtained with XPIC and ATDE. In order to verify the operation of designed XPIC, we review the simulated results in view of tap number, algorithm convergence, system signature, and XPlC improvement factor in connection with 64-QAM DRRS with co-channel dual polarization.