The present invention relates to the field of the lightning arrester maintenance test, in particular to an automatic shrinkage type shielding wire for a lightning arrester DC withstand voltage test, and a manufacturing method thereof. The shielding wire comprises: a protective layer, a shielding layer, an insulating layer, a wire layer and a filling layer. The protective layer is arranged at an outermost layer of the shielding wire and is configured to protect the internal structure, and the length of the protective layer can be changed; the shielding layer is wrapped in the protective layer,is in close contact with the protective layer, and is configured to shield electromagnetic radiation from the wire layer and/or the ground leakage current, and the length of the shielding layer can bechanged; the insulating layer is wrapped in the shielding layer; and the wire layer is wrapped in the insulating layer, is in close contact with the insulating layer, is tightly wound on the fillinglayer by using a spiral structure, and is configured to realize the elastic shrinking function, and the center magnetic flux is zero. The shielding wire provided by the present invention has an elastic shrinking ability, the harm caused by corona can be reduced, and the efficiency and safety of the lighting arrester DC withstand voltage test can be improved.