The invention discloses a lithium battery system with the self-repair function and a self-repair method thereof and belongs to the battery fault repairing field. The system includes a bidirectional DC/DC converter, a super capacitor bank, a processor, a battery detection module and a battery pack composed of multiple lithium batteries and multiple switches, wherein the super capacitor bank is usedfor providing power for the bidirectional DC/DC converter, the battery detection module is used for detecting status data of each lithium battery in the battery pack, the status data is faulty or normal, when the status data is faulty, the faulty lithium battery is replaced by the bidirectional DC/DC converter by controlling turn-on and turn-off of the multiple switches in the battery pack by theprocessor. The system is advantaged in that when a lithium battery fault occurs in the system, the external power supply of the system is abnormal, the self-repair function is for self-repairing external power supply abnormality of the system, after detecting the faulty lithium battery, the faulty lithium battery is replaced by the bidirectional DC/DC converter, so that the external power supplyof the system returns to normal, and the self-repair feature is achieved.