The invention provides a traditional Chinese medicinal composition capable of relieving cough and asthma and a preparation method of the traditional Chinese medicinal composition. The traditional Chinese medicinal composition is prepared from the following components in percentage by weight: 5-7 % of fructus momordicae, 5-7 % of exocarpium citri tangerinae, 5-7 % of semen torreya, 5-7 % of flos sophorae immaturus, 5-7 % of perilla seeds, 5-7 % of radix platycodi, 7-9 % of semen ginkgo, 8-10 % of rhizoma dioscoreae, 8-10 % of lily bulbs, 5-7 % of fructus phyllanthi, 5-7 % of semen sterculiae lychnophorae, 7-9 % of apricot kernels, 4-6 % of pericarpium citri reticulatae, 5-7 % of herba houttuyniae, 3-5 % of honeysuckle flowers, and 4-6 % of fructus citri sarcodactylis. The preparation method comprises the following steps: mixing the components, adding water into the mixed components, decocting the components till paste is obtained, carrying out mixed granulation on the paste, maltodextrin and potassium sorbate, carrying out drying, and carrying out sterilizing, thus obtaining the traditional Chinese medicinal composition. The traditional Chinese medicinal composition has the functions of relieving cough and reducing sputum, as well as relieving asthma and relieving exterior syndrome, is mild in property, is free of toxic and side effects, has the outstanding features of treating both symptoms and root causes, being good in long-term effect, and being low in recurrence rate, and has the good treatment effects for the long-term repeated upper respiratory infection, cough and asthma.