The invention discloses chili oil and a preparation process thereof. The chili oil is prepared from, by mass, 100 parts of rapeseed oil, 20-25 parts of dried chili powder, 5-6 parts of auxiliary spices, 1.5-2 parts of white sesame seeds, 0.1-0.5 part of ultrafine bitter gourd powder, 0.5-1.5 parts of ultrafine rose flower powder, 0.1-0.5 part of a composite freshness-enhancing agent and 0.4-0.5 part of edible salt; the auxiliary spices are prepared from, by mass, 10 parts of Sichuan peppers, 3-6 parts of ginger, 3-6 parts of garlic, 3-5 parts of star anise, 0.2-0.8 part of myrcia, 0.1-0.5 partof lemon grass, 0.5-2 parts of dried mint, 1-2 parts of rhizoma kaempferiae, 2-3 parts of fructus foeniculi, 1-2 parts of fructus amomi rotundus, 0.5-2 parts of cortex cinnamomi, 0.5-5 parts of peppers, 0.5-2 parts of tsaoko amomum fruits, 3-5 parts of red cape jasmine fruits and 4-6 parts of licorice root. The chili oil is bright red in color and luster and is not blackened or burnt, integratescolor, fragrance, pungency, freshness and spiciness and can be stored for a long time; since bitter gourds and rose flowers can effectively neutralize the spicy taste of the chili oil, a person does not easily suffer from inner heat when eating the chili oil.