The closed-die forging was adopted to manufacture hypoid driving gear whose material is 20CrMnTi, the forming technology characteristics were analyzed and the three dimensional figure was created by UG. The precision forging process was simulated by the FEM software Deform-3D，distribution of equivalent stress、equivalent strain、velocity filed and load-stock curve were obtained, which provided for die design and optimization as well as equipment selection. The numerical simulation analysis was verified by precision forging experiment which was processed by J53-1000℃ press. The study provides a significant guidance to the precision forging of hypoid driving gear.