The invention discloses a halogen-free flame-retardation thermoplastic dynamic sulfurated ethylene-propylene-diene monomer rubber/polypropylene composition and a preparation method thereof. The ethylene-propylene-diene monomer rubber/polypropylene composition is prepared by ethylene-propylene-diene monomer rubber, polypropylene, coked piperazine phosphate, melamine pyrophosphate, zinc oxide, ethylene-propylene-diene-grafted maleic anhydride, an initiator, a vulcanizing agent, rubber softening oil and a lubricant. The preparation method comprises the following steps: 1) mixing EPDM, PP, coked piperazine phosphate, MPP, ZnO, EPDM-g-MAH and the lubricant, and dispersing the materials; 2) performing melt extrusion on a premix obtained in the step 1) and performing granulation on the premix; and 3) mixing the premix, the initiator, the vulcanizing agent and the rubber softening oil, extruding a mixture, and granulating the mixture. The ethylene-propylene-diene monomer rubber/polypropylene composition has the advantages of heat resistance, aging resistance, excellent mechanical property and flame resistance performance, enables thermoplastic processing, has a production process, and can be widely used for wire and cable compounds with high flame-resistance requirements.