The invention provides a traditional Chinese medicine plaster for treating malignant tumors, which is prepared from the following raw materials by weight portion: 80-130 portions of euphorbia pekinensis, 80-130 portions of euphorbia kansui, 80-130 portions of lilac daphne flower bud, 80-130 portions of rhizoma sparganii, 80-130 portions of rhizoma zedoariae, 60-100 portions of frankincense, 60-100 portions of golden cypress, 60-100 portions of rhizoma coptidis, 60-100 portions of rhubarb, 60-100 portions of myrrh, 40-70 portions of nux vomica, 40-70 portions of Chinese gall, 40-70 portions of pillis ophidiae, 40-70 portions of angelica, 40-70 portions of liquorice, 40-70 portions of dried rhizome of rehmannia, 40-70 portions of radix scrophulariae, 40-70 portions of radices trichosanthis, 40-70 portions of fiveleaf akebia fruit, 35-55 portions of centipede, 35-55 portions of scorpio, 35-55 portions of pseudo-ginseng and 35-55 portions of senso. The invention also provides a preparation method of the traditional Chinese medicine plaster. The traditional Chinese medicine plaster is used for treating various malignant tumors, is a preferred plaster for patients with end-stage tumors, i.e. hydrothorax, ascites, jaundice, and the like and has the advantages of innocuity, high safety, low cost, convenient preparation, and the like.