Abstract: Evaluates how the water resource were exploited in the littoral cities of Liaoning province in a fuzzy mode. The results show that the eigenvalue of exploitation level is 1.7632, i.e., a value between the first and second levels and approaching to capacity of water resource. Predictes the possible drought, increasing urban population, water consumption for people's daily life and grass consumption in littoral cities by establishing GM (1,1) and GM (1,2) models based on the gray system. The result shows that there will be droughts in 2004 and 2009, and the urban population will be up to 7.2 million in 2010 and 9.1 million in 2020, and the daily life water consumption and gross consumption will be up to 446 million ton and 980 million ton in 2010, respectively. It is thus estimated that there will be a keener contradiction between water demand and supply in these cities.