Hydraulic hybrid vehicles (HHV) with secondary regulation technology has the potential of improving fuel economy by operating the engine in the optimum efficiency range and making use of regenerative braking. Hydrostatic transmission technology has the advantage of higher power density and the ability to accept the high rates and high frequencies of charging and discharging, both of which are not favorable for batteries, but the lower energy density requires special power matching design and control strategy to coordinate all the powertrain components in an optimal manner. A multi-objective optimization method is proposed to distinguish the components size values of HHV by considering the requirements of driving cycles and technology aspects. The regenerative braking strategy and energy control strategy based on the optimized HHV is proposed to recovery the braking energy and distribute the regenerated braking energy. Simulation results show that by taking the optimized configuration of HHV, adopting the regenerative braking strategy and energy control strategy are helpful to improve the system efficiency and fuel economy of HHV under urban driving cycles.