Gas phase diffusion process of UDMH and NTO in confined space was investigated and the mechanism of the reaction between the propellants was analyzed in order to study the diffusion process considering chemical reaction between propellants based on numerical simulation. According to the results of numerical simulation, the propellant concentration distribution, resultant of reaction distribution, as well as temperature distribution was obtained. Results showed that the leakage diffusion process can be divided into three stages: heavy gas deposition stage, rapid reaction stage and equilibrium diffusion stage. In the heavy gas deposition stage, propellants are mainly affected by gravity. During the rapid reaction stage, the chemical reaction between propellants plays a certain role in the diffusion process. In the equilibrium diffusion stage, the bottom temperature of the confined space increased significantly, the highest temperature reached 306K.