Abstract: The construction development of city forest on loess plateau hilly and gully area at Yan’an city was analyzed. Three forestation ecological circles should be established from urban center to suburb based on the different of social function, artificial activity influence, ecosystem term etc. among city center, suburb and village. The first one is anti-fouling, turning air and city beautified ecological circle. The second one is suburb beautified, protection and agricultural fruit production circle. The third one is the self-control suburb of source of water, water and soil conservation and the protection of dust storm, forest fruit production forest ecological circle.