Disclosed are production of terpenoid compound and the strain used by, which belong to the technical field of bioengineering. The disclosure constructs an engineered strain of Serratia marcescens in production of hemiterpenes or monoterpenes, and the engineered strain of S. marcescens can produce linalool, isoprene, isopentenol, 1,8-cineole, -pinene, pinene, -terpinene, geraniol, (+)-limonene, ()-limonene, myrcene, -ocimene, sabinene, ()--bisabolol, farnesol, longifolene, valencene, -elemene, farnesene, patchoulol, pentalenene, and -santalene. In a 30 L fermenter, the yield of linalool produced by the engineered strain of S. marcescens is 40.72 g.Math.L.sup.1.