Most existed researches on traffic simulation with virtual reality are mainly concentrated on the visualization or the real-time simulation to create immersion experiences in virtual world, but little attention has been paid on system modeling and formal specification of traffic simulation. Based on multi-agent technology, Virtual Reality Intelligent Simulation System of Vehicles (VR-ISSV) is proposed to investigate the modeling method of vehicles simulation system, with the advantages of reusability, scalability and flexibility. Firstly, the framework modeling is introduced to depict the general intelligent simulation system. Then, intelligent vehicle agent and environment agent are presented for the simulation of interactions among the vehicles, the traffic situation and the environment. Finally, the application results of the proposed system are realized.