Abstract: This paper discusses the special environment of plasma and electromagnetic field around a spacecraft, which is resulted from ion or Hall electric propulsion, and its effects on spacecraft subsystems or parts, including sputtering erosion, deposition contamination, charge and discharge, plasma interference and impacting dynamic disturbance. Ground and space test methods, together with model analysis methods related with the interactions between electric propulsion systems and spacecrafts are reviewed. An approach for compatibility analysis between ion electric propulsion and spacecrafts is specially addressed.