Based on TM image data in 1989, 1995, 1999, 2003, 2006 and 2009 of Yanchi County of Ningxia, the land use data of Yanchi County in each year were extracted supporting by RS and GIS technology and the dynamic change of land use was analyzed. The change of ecosystem services values caused by the land use change of Yanchi County were estimated using the evaluation method of China terrestrial ecosystem services value. The results showed that the change of land use were significant from 1989 to 2009. The area of forest land and construction land had an increasing tendency, while grassland area first reduced and then increased; while cultivated land and unused land area first increased then reduced, while water area fluctuated slightly. The ecosystem services value of Yanchi County had an increasing tendency from 1989 to 1995, because the increasing forest land area had played the major role in raising the total ecosystem services value. The grassland accounted for a large proportion of the total ecosystem services value of Yanchi County, with its contribution rate from 49.8 to 60.4%. And the composition of the ecosystem services value of Yanchi County came up a benign change for the increasing contribution rate of woodland. The ecosystem services value sensitivity index of each land use type was less than 1, which indicated that the ecosystem services value of Yanchi County lacks flexibility on its service value index, research results were reliable.