The invention discloses a Z-source matrix rectifier and a vector modulation method thereof, and belongs to the technical field of a rectifier, for solving the problems that output DC voltage of a conventional matrix rectifier is smaller than input line voltage and an open circuit at an input side affects circuit reliability. The input end of an input filter of the rectifier is connected with a three-phase power source, the output end of the input filter is connected with the input end of the matrix rectifier, the output end of the matrix rectifier is connected with the input end of a Z-source network, the output end of the Z-source network is connected with the input end of an output filter, and the output end of the output filter outputs voltages for supplying power to a load. According to the method, through determining an instantaneous value and a zero-crossing point of three-phase voltages, a sector is determined, under the condition that unit power factors of voltages and currents at the input side are guaranteed, an input reference current vector is determined, and the duty ratio value of the corresponding vector is obtained through a calculation formula, such that a vector modulation strategy is realized. The Z-source matrix rectifier and the vector modulation method thereof are applied to a rectifier and modulation of the rectifier.