The invention discloses a method for manufacturing a heat-resistant aluminum alloy wire for a power cable, and belongs to the technical field of design and manufacture of power transmission lines. The aluminum alloy wire uses magnesium, copper, iron, silicon, boron, cerium-rich rare earth, zirconium, yttrium, cobalt and the like as alloying elements. The manufacturing process for the aluminum alloy wire comprises the following steps: adding the alloying elements into fused aluminum of a shaft furnace, casting the mixture after smelting into a cast strip and thermally rolling the cast strip, then performing cold-drawing processing, annealing in the cold-drawing process, adopting recrystallization and thermal treatment before final cold-drawing, and later performing trace cold-drawing processing. The aluminum alloy wire not only has good bending resistant performance and forming performance, but also has high conductivity and good heat resistance (comprising high-temperature creep resistance), and can ensure the stability of electrical connection under both normal temperature and high temperature.