In this paper，topographic maps，aerial photos and satellite remote sensing images were used to analyze the changes of the Beijing-Hangzhou Grand Canal (Hangzhou Section). The result  shows that, through several times of expansion and renovation from 1955 to 2007, the length of the canal was shorten from 21.05 km to 16.23 km, the water area was expanded from 0.76 km2 to 1.03 km2, and the average river width was expanded from 36.10 m to 63.46 m. In canal buffer area (r=2 km), the urban construction area was increased from 31% to 68%, the agricultural land was decreased from 61% to 16%, and the industrial land was increased from 8% to 16%. An analysis of the changes of the industrial land surrounding the canal reveals that industry in Hangzhou has been dependent on the canal. The canal and the Qiantang River re-engineering project has changed the river way of the canal. The distribution of industrial land was changed from 1988 to 2007, although the proportion of the total industrial and mining land area remained 16%. The area near the old river (the abandoned river) was decreased from 2.77 km2 to 0.82 km2, while the area near the new river was increased from 0.74 km2 to 3.38 km2.