With the further extending of the transmission distance in remote optical fiber hydrophone system, the effects of various optical nonlinear effects are becoming prominent, and have become the bottleneck that limits the performance of the system. This paper reviewed the research progress on the optical nonlinear effects in remote optical fiber hydrophone system, analyzed the main nonlinear effects in remote fiber optic hydrophone system, and focused on the mechanism of stimulated Brillouin scattering and modulation instability. The effects of SBS and MI on the systems phase noise were presented. Finally, the methods to suppress the nonlinear effects were introduced.