The invention discloses a processing method of a wash-and-wear shirt containing bast fiber or regenerated cellulose fiber. The processing method comprises the steps of fabric processing and garment making, wherein fabric processing comprises yarn preparation, yarn dyeing, yarn softening, drying, spooling, warping, slashing, weaving, cloth preparation, singeing, desizing, mercerizing, sizing and preshrinking; the garment making comprises cloth preparation, piece tailoring, sewing, pre-washing, drying, spraying, pre-drying, pressing, baking, moisture regaining, washing, drying, button cuffing, ironing and packaging; yarn softening involves that a polyethylene wax emulsion is used for treating fabric after yarn dyeing, the use concentration of the polyethylene wax emulsion is 2-4 g/L, and thebath ratio is 1:5-10. The processing method of the wash-and-wear shirt containing the bast fiber or the regenerated cellulose fiber has the advantages that the polyethylene wax emulsion is taken as asoftening agent of the yarn softening process, the softening agent is easy to clean off in the subsequent dyeing and finishing process, the hydrophilia of the fabric and the combination of resin andfiber in the non-iron finishing stage of ready-made garment are not affected, so that the processed wash-and-wear shirt has excellent appearance flatness and good dimensional stability after washing.