The invention discloses a light emitting diode epitaxial wafer and a manufacturing method thereof, belonging to the technical field of semiconductors. The epitaxial wafer includes a substrate, a buffer layer, an undoped GaN layer, an N-type GaN layer, a second electron blocking layer, a multiple quantum well layer, a first electron blocking layer, and a P-type GaN layer. The electron blocking layer includes a plurality of first sub-layers and a plurality of second sub-layers that are alternately stacked. Each first sub-layer is an undoped indium gallium nitride layer, a second sub-layer of theplurality of second sub-layers closest to the multiple quantum well layer is a first aluminum gallium nitride layer, the first aluminum gallium nitride layer is an undoped aluminum gallium nitride layer, and each second sub-layer among the second sub-layers except the second sub-layer closest to the multiple quantum well layer is a second aluminum gallium nitride layer, the second aluminum gallium nitride layer is a P-type doped aluminum gallium nitride layer, and the doping concentration of a P-type dopant in each second aluminum gallium nitride layer is smaller than the doping concentrationof a P-type dopant in the GaN layer. The luminous efficiency can be improved.