This research investigated variations of the engine performance and the exhaust emission characteristic of a direct injection diesel engine by fueling a commercial diesel fuel, which was blended with the di-ether group (butyl-ether: BE). The smoke emission reduced to 26% from the diesel engine with the blending fuel (diesel fuel 80 vol-% + BE 20 vol-%)at the full engine load of 2500 rpm compared to it with the diesel fuel only. The power, torque and brake specific energy consumption of the diesel engine showed very slight differences. The NOx emission from the diesel engine, however, with the blended fuel was higher than with the commercial diesel fuel only. By applying EGR method, as a counter plan of the NOx reduction, this research obtained reductions of the smoke and NOx emission at the same time from the diesel engine with the BE blended diesel fuel.