The invention relates to a steel induction heating solid phase welding method and a butt welding machine tool. The butt welding machine consists of a machine body and a butt welding clamp, wherein the machine body mainly comprises a machine tool body, an electric cabinet, a welding controller, a left main guide rail, a left main slide rail, a left induction heating transformer, a tool holder, a right induction heating transformer, a right main guide rail, a right main slide rail and a hydraulic cabinet; and the hydraulic steel tube and steel rail butt welding clamp mainly comprise a left hydraulic cylinder, a left hydraulic cylinder fixing seat, a left steel rail fixing clamp, a left induction heating ring, a connecting rod of a piston rod, a right induction heating ring, a right steel rail fixing clamp, a right hydraulic cylinder fixing seat and a right hydraulic cylinder. The butt welding clamp is arranged on the end face to be welded of the steel product; and the induction heating rings are sleeved on the end face to be welded of the steel product respectively; an induction heating power supply is connected with the primary of the induction heating transformer by a cable, and the secondary of the induction heating transformer is connected with the induction heating rings respectively; and the induction heating rings can heat the end faces to be welded of two steel products to a thermoplastic state in a shot time, and the upsetting pull force is generated on the welding clamp, so that the two steel products are welded together.