This paper describes thermal analysis of canned induction motor for coolant pump considering eddy current loss. The electromagnetic field of a canned motor was analyzed by using the time-step finite element method, and the eddy loss was obtained. Equivalent circuit considering can loss was developed and the equitation to calculate can loss was derived from theory of conventional motor. Using the loss from electromagnetic analysis as heat source of temperature field, thermal analysis was conducted by three dimensional finite element analyses. The simulation results show good agreement with experiment data, which indicates that this method has good accuracy and reliability for dealing with thermal behavior of canned motor.