The invention discloses a local Retinex dehazing algorithm based on HSV color spaces. The local Retinex dehazing algorithm is used for conducting image enhancement on an image with fog being unevenly distributed under the foggy day condition. The method includes the following steps that A, the multi-layered foggy day image is processed in different color spaces, so that the image contrast ratio is enhanced, and the image definition is improved; B, the size of the image is obtained, the sizes of subblock images are judged in a self-adaptation mode, and a luminance image of the foggy day image is partitioned; enhancement processing is conducted on all sub images of the luminance component, and the image definition is improved; C, the area proportion factors of all pixel points in the overlapped sub images are calculated, weighted summation is conducted on all the overlapped sub images, and image fusion is achieved; D, the saturability component of the image is processed, and the image color is restored. By means of the local Retinex dehazing algorithm, scenery details at different levels can be restored clearly and quickly, the visual effect of the image is improved, and the algorithm is suitable for aerial photo systems at different regions.