To address the current situation of low flatness, poor cutting quality and cane bud damage at the cane cutter due to insufficient optimization of the structure and motion parameters and installation coordination of the cutting tool of the cane seed cutter. Finite element cutting simulation tests were conducted using single-factor tests on the distance between the cutting edge and the pivot point of the transport roller, tool drop speed, tool installation offset angle, tool front angle and tool back angle of the cane seed cutter to determine the evaluation indexes affecting the cane seed cutting quality and the trend of the influence of each factor on this index. The significant interaction effect of each factor on the evaluation index was analyzed based on the rotating orthogonal test, and the quadratic polynomial regression model of the orthogonal test results was obtained. Combining the agronomic requirements with the cutting characteristics of the tool, the optimal evaluation index was established, the optimized optimal combination of parameters was obtained, and the cutting section simulation test and bench validation test were conducted. The final selection results are as follows: the distance between the incision and the fulcrum is 177.944 mm, the tool landing speed is 1.569 m/s, the tool installation offset angle is 5.923°, the tool front angle is 10.899°, and the tool back angle is 8.637°. The equivalent stress at the incision site and the sugarcane shoot site are 5.053 mm and 1.592 MPa, respectively. The comprehensive analysis error rate is 4.97%. This study can provide a research basis for the optimization of the structure parameters and installation parameters of sugarcane seed cutting knife and its motion parameters, so as to improve the seed cutting quality of cane.