The invention discloses a traditional Chinese medicine composition for treating bone diseases, a plaster and a preparation method. The traditional Chinese medicine composition comprises 37 traditionalChinese medicines such as sambucus chinensis, elderberry, garden balsam stem, berba aristolochiae mollissimae, lycopodium clavatum, radix clematidis, angelica sinensis, achyranthes root, centella asiatica, teucrium viscidum, cortex acanthopanacis, kadsura root-bark, bark of himalayan coralbean, teasel, homalomena occulta, caulis spatholobi, rhizoma dioscoreae nipponicae, dysosma versipellis, huperzia serrata, paris polyphylla, dragon's blood, rhizoma corydalis, divaricate saposhnikovia root, radix stephaniae tetrandrae, notopterygium root, radix angelicae pubescentis, golden cypress, root ofcommon peony, turmeric, large-leaved gentian, poria cocos, root of red-rooted salvia, radix angelicae, fructus forsythiae, raw rhubarb, pawpaw and ligusticum wallichii. The traditional Chinese medicine composition disclosed by the invention is prepared by combining multiple traditional Chinese medicines, is capable of regulating blood vessels, promoting reunion of fractured tendons and strengthening bones, has excellent anti-inflammatory and pain effects, has excellent curative effects on bone diseases such as injury, bone spur, fracture, inflammation and hydrops, is wide in treatment range, is not limited to a single disease, does not have any side effect and provides a novel formula for treating bone diseases.