As traditional rotating laser construction can not give all considerations to the speed, range and the precision of leveling, this paper developed a new self-leveling mechanism to solve the problem above mentioned. Firstly, by improving the angle sensor in a traditional rotating laser construction, a kind of electronic bubble with the compensative function was designed to meet the accuracy requirement. Then, based on the PID controlling method, a closed loop control system for the self-leveling was designed, while the fuzzy control method was induced to the index of leveling speed. Finally, the general layout of the system was optimized, and the range of self-leveling was enlarged. The experimental result indicates that the leveling accuracy is 10″ and the leveling time is less than 10 s while the inclining angle is from -10° to +10°. In conclusion, the new construction has the characteristics of higher leveling precision, larger leveling ranges and faster leveling speeds as compared with the traditional one.