The invention discloses a terpenoid synthase for producing nerolidol and application thereof, and belongs to the field of synthetic biology. Terpene synthase TPF09930 for producing the nerolidol is provided, a nucleotide sequence of the terpene synthase TPF09930 is as shown in SEQIDNO:2, the terpene synthase TPF09930 is combined with mevalonic acid pathway related genes to construct a strain for producing the nerolidol. By overexpression of Escherichia coli XL1 blue-derived atoB gene or idi gene of mevalonic acid pathway, catalytic substrate Farnesyl pyrophosphate can be synthesized in large scale, and producing of the nerolidol can be further promoted. The terpene synthase has specificity and high efficiency, can improve the nerolidol yield, greatly overcomes the defects of a large amount of raw materials and a low nerolidol yield, reduces study cost, and ensures greenness and environmental friendliness.