The invention discloses an infantile eczema cream and a preparation method thereof. The infantile eczema cream is prepared from raw materials of, by weight percentage, 1-3% of shea butter, 0-4.6% of coconut oil, 1.9-5% of lanolin, 0.5-2% of scutellaria baicalensis extract, 0.4-2% of golden cypress extract, 0.05-0.2% of fructus cnidii extract, 0.1-0.5% of fructus kochiae extract, 0.1-0.5% of allantoin, 0.05-0.2% of bisabolol, 0.1-2% of menthyl lactate, 2-5% of surfactant, 0.1-0.5% of dipotassium glycyrrhizinate, 1-10% of stearic acid, 1-5.5% of octadecanol, 0.3-7% of glycerin, 0-10% of methylparaben, 0-0.5% of propylparaben, 0-1% of essence, 0.1-25% of thickener and water as balance. The infantile eczema cream is prepared from a number of Chinese herbs and gives play to the synergistic effects of the Chinese herbs, achieves the effects of heat clearing, detoxification, dampness elimination, bacteria resistance, inflammation diminishing, wind dispelling and itching relief. The infantile eczema cream is mild and rapid in effect and free from skin irritation and side effects.