In this paper, a new-type balanced opposed-piston two-stroke (OP2S) gasoline direct injection (GDI) engine is developed by Beijing Institute of Technology. OP2S-GDI engine has some potential advantages such as simple structure, good balance, compact, high power density and thermal efficiency. The structural feature of OP2S-GDI engine leads to the performance difference compared with conventional engines. In order to study and verify the characteristics of this kind of engine, the dynamics characteristics and design scheme of opposed crank-connecting rod mechanism, in-cylinder scavenging process, mixture formation and combustion process are investigated. The influence of parameters on engine performance is investigated, including opposed-piston motion phase difference, intake and exhaust port timing, injection and ignition timing. In addition, the arrangement form of opposed crank-connecting rod mechanism is investigated as a main factor to affect the integral forced status and system balance for OP2S-GDI engine.