The invention relates to a capacitance rotary transformation displacement sensor. The capacitance rotary transformation displacement sensor is characterized by comprising a sensitive structure and a demodulator circuit, wherein the sensitive structure comprises a movable scale and a stationary scale. The movable scale and the stationary scale are arranged in parallel, two sine sensitive electrodes are arranged in parallel inside the movable scale, a coupling electrode is arranged between the two sine sensitive electrodes, and the two sine sensitive electrodes and the coupling electrode are equipotential bodies; two collecting electrodes are arranged in parallel inside the stationary scale, and an exciting electrode is arranged between the two collecting electrodes; the demodulator circuit comprises a rotary transformation demodulating module, a C-V conversion module, a differential amplification module, an error compensation module and a power supply module; the rotary transformation demodulating module outputs a carrier signal which is processed, and sends the carrier signal to the sensitive structure to obtain a coarsely measured orthogonal rotary transformation signal and finely measured orthogonal rotary transformation through the C-V conversion module and the differential amplification module, and error compensation is performed after acquiring the coarsely measured displacement and the finely measured displacement through the rotary transformation demodulating module to obtain an absolute displacement. The capacitance rotary transformation displacement sensor provided by the invention can be widely applied to a non-contact type capacitance displacement sensor.