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In order to determine the usefulness of coconut and palm oil biodiesels as alternative diesel fuel, the fuel properties, the combustion characteristics and the exhaust emissions were investigated. Therefore, the methyl esters of coconut, palm and rapeseed oils (CME, PME and RME) and the ethyl ester of palm and rapeseed oils (PEE and REE) were processed and tested using a DI diesel engine. From the experimental results, the thermal efficiency of CME is almost the same as the other test fuels and CME has the lowest HC, CO, NOx and smoke emissions among the test fuels. Also PEE has the same ignitibility as PME and the exhaust emissions of PEE are almost the same as PME. From this investigation, we can say that CME and PEE are favorable alternative diesel fuels to substitute for petroleum based diesel fuel.