The invention discloses an asphalt mixture with mineral powder replaced with chemically modified red mud and a preparation method of the asphalt mixture. The chemically modified red mud is prepared from components in parts by weight as follows: 80-90 parts of red mud, 10-20 parts of a red mud modifier and 0-10 parts of a chemical solvent; the red mud modifier is one of or a mixture of more of slaked lime, fly ash, cement and anti-stripping agent; the chemical solvent one of or a mixture of more of methanol, ethanol, normal propyl alcohol and isopropyl alcohol or the chemical solvent is one ofor a mixture of more of a silane coupling agent, a titanate coupling agent and an aluminate coupling agent. The chemically modified red mud is used for replacing mineral powder for preparation of theasphalt mixture, on one hand, a series of social and environment problems caused by large-scale piling of red mud are relieved, on the other hand, high-quality and cheap substitute materials are exploited for production of the asphalt mixture, and the asphalt mixture has significant economic and social benefits.