In order to improve the efficiency of the power system, in recent years, China has been actively promoting the use of energy-saving amorphous alloy transformer. As the oil- immersed amorphous alloy distribution transformer is the fully sealed and maintenance-free transformer, iron core debris of amorphous alloy once produced will accumulate and this will result in great harm on the insulation and stability of the amorphous alloy transformer. This article uses the finite element analysis for the study of distribution characteristics of amorphous alloy iron core debris and the impact of electromagnetic performance of the oil-immersed amorphous alloy transformer. The electric field internal the amorphous alloy core debris is zero, and the electric field around it becomes three times larger. Amorphous debris cause uneven distribution of electric field in the oil, which will easily lead to insulating oil breakdown.