The invention provides an automatic yarn processing method which includes the steps: placing yarns to be dyed into a preprocessing container and cleaning the yarns; grabbing the cleaned yarns into a drying box by a manipulator and drying the yarns; dyeing the yarns by dyeing liquid in a dyeing box, grabbing the dyed yarns onto a centrifugal dehydrator by a grabber and dehydrating the yarns when dyeing time is over; secondarily drying the dehydrated yarns. The yarns can be automatically cleaned, dried, dyed, dehydrated and dried, and the method can solve the problems of high labor intensity, more staff, low labor efficiency and the like in a dyeing process.