Dual-rotor machine (DRM) is a multiple input and output electromechanical device with two electrical and two mechanical ports which make it an optimal transmission system for hybrid electric vehicles. In attempt to boost its performance and efficiency, this work presents a dual-rotor permanent magnet (DR-PM) machine system used for continuously variable transmission (CVT) in HEVs. The proposed DR-PM machine is analyzed, and modeled in consideration of vehicle driving requirements. Considering energy conversion modes and torque transfer modes, operation conditions of the DR-PM machine system used for CVT are illustrated in detail. Integrated control model of the system is carried out, besides, intelligent speed ratio control strategy is designed by analyzing the dynamic coupling modes upon the integrated models to satisfy the performance requirements, reasonable energy-split between machine and engine, and optimal fuel economy. Experimental results confirm the validity of the mathematical model of the DR-PM machine system in the application of CVT, and the effectiveness of the intelligent speed ratio control strategy.