As concerns about global and local pollution have grown, stricter and stricter environmental legislations are enforced. A fuel cell city bus was developed in the last year, which is supported by Ministry of Science and Technology in China. The simulation of an electrically powered hydraulic steering system used in the developed fuel cell city bus is studied. The layout of the steering system is introduced. Resistive force of the steering tire originating from the vertical load and lateral force of tire is computed, and then the resistant force of hydraulic cylinder can be determined. The DC motor is used to drive the hydraulic vane pump and dynamic equation of the system is established. Simulation is performed with the help of Simulink of MATLAB. Relationships between hydraulic pressure and forward speed, voltage of armature of motor are simulated, respectively, which is helpful to determine parameters of hydraulic vane pump, DC motor in electrically powered hydraulic steering system in electric vehicles.