A PC-based analysis and design system of exhaust muffler is described. It makes use of software packages such as Sysnoise and STAR-CD to calculate transmission loss(TL) and back pressure. The system is applied to redesign a main muffler of passenger car to improve its performance. The effects of design parameters on acoustic and pressure loss characteristics are examined. Taguchi method Is used to determine optimal combination of parameters which affects muffler performances such as TL and back pressure. Three models are chosen and compared in laboratory bench test and engine dynamometer test to prove their performances.