The invention provides a lossless current limiting device and a control method thereof, which relate to the technical field of high-voltage electrical appliances and are used to limit the fault short circuit current. The device comprises a detection module, a first reverse current module, a second reverse current module, a fast switching module, and a current limiting inductor module. The detection module is used for determining whether a transmission line is short-circuited and the direction of the short circuit current. The first reverse current module and the second reverse current module are used for outputting a current in the opposite direction of the short circuit current to make the short circuit current cross zero quickly. The fast switching module disconnects a switch fracture after receiving a signal from the detection module. The current limiting inductor module is used for limiting the short circuit current. The embodiment of the invention is used for the manufacture of a current limiting device.