The work aims to design an automatic packaging machine of cored wire coil with a maximum weight of 1500 kg, aiming at the problems such as the low efficiency of hand-wrapped cored wire coil and the uneven quality of packaging. The structural design of the packaging machine was carried out according to the main parameters and packaging process of the cored wire coil and the actual requirements of cored wire in the packaging process, including the packaging preparation device, the heat sealing machine, the welding system and the pneumatic system. A complete automatic packaging machine of cored wire coil with an overall size of 3200 mm×1200 mm×2000 mm was designed. The virtual assembling simulation of the packaging machine and the debugging of the pneumatic system were completed. The simulation results showed that the packaging speed was the speed of the film tractor, i.e. 0.11-0.5 m/s. The finite element analysis results of the U-shaped hook of the key component showed that the maximum displacement occurred at the bottom of the U-shaped hook, and the maximum equivalent stress was 29.871 MPa. The strength of the device met the design requirements. Based on the summary of the existing problems of cored wire packaging, the innovative design and simulation optimization of the packaging machine are carried out from the perspective of satisfying the sustainable demand of the enterprises. Automatic and standardized packaging of cored wire coil is realized to reduce labor cost for enterprises.