Abstract: An advanced matching approach for automatic digital elevation model(DEM) generation from high-resolution satellite images is presented.The DEMs are generated by combination of matching results of feature points,grid points and edges.The new method is applied to SPOT-5 HRS/HRG images over a testfield in Zone of Headstream of Three Rivers,Tibet Plateau,China with variable terrain geomorphologic type.The RMS errors for the whole area are 2-6 m,while for flat/hilly areas the accuracy is about 2-3 m or even better.It is shown that with the proposed automatic DEM generation approach,by using SPOT-5 HRS/HRG imagery,1∶50 000 DEMs can be completed with better accuracy.