A new MHD simulation scheme is developed on an unstructured grid system using the finite volume total variation diminishing scheme and applied to the problem of solar wind-planet interaction, assuming a perfect-conducting ionosphere around the planet. It is shown that the scheme presented here enables one to calculate effectively the configuration of three-dimensional MHD flow near planets, together with the draping process of magnetic field. Results of the calculation give a general confirmation for the formations of the bow shock, the magnetic barrier, the magnetosheath, the magnetopause, the wake region, the plasma sheet, and the magnetotail. Because of the J¿B forces, flow near the planet is accelerated in the polar regions and decelerated in the equatorial plane in the solar wind velocity magnetic field (VB) coordinate system. In the tail region, the J¿B forces act to accelerate the flow in the midnight meridian plane and suppress the formation of the trailing shock. However, the present calculation gives a weaker magnitude for the tail magnetic field than that given by the observations and suggests the role of some additional mechanisms for the pileup of the magnetic field in the tail. ¿ American Geophysical Union 1993