The steering column assembly which connects the steering wheel and the steering gear is a very important part of the steering system. This paper presented the optimization design and testing of the steering column upper bearing of an upcoming automobile targeting the 2010-2015 Chinese market. The design problems were formulated into an optimization problem and were solved by Simulated Annealing Algorithm. 6 sample bearings were produced according to the optimization results and tests of steering upper bearing durability, steering shaft looseness and rotation effects performed on each sample to verify the optimized design. According to the test results, the optimal design of the steering column upper bearing is reliable. By using the Simulated Annealing Algorithm, the design time and costs of the steering upper bearing were reduce at least by 2 months and 60,000 USD, respectively.