Abstract: The excavation-induced lateral soil movement may adversely affect any nearby pile foundation systems. A two-stage method is used to determine the additional bending moments and deflections on pile foundations. Firstly, the free field soil movement is used as the input to acquire the lateral differential governing equation of a single pile based on the Winkler subgrade model and deformation compatibility condition. Then, the shielding effect due to pile-soil-pile interaction is considered by the simplified Mindlin’s equation. The pile group governing equations are obtained at last and are solved by the finite difference method. Comparisons are made between the observed behaviors of centrifugal model tests and those computed by the proposed method.