Abstract: A system for fluidized bed reduction of powdered iron ore. Use of high-gas-velocity processing accelerates iron ore reduction speed and greatly improves the gas-treatment capabilities of a unit-cross-sectional fluidized bed. Use of parallel connections involving reduced coal gas lessens the volume of gas passing through a single-stage fluidized bed. Use of serial/parallel-connection processing involving reduced coal gas increases the coal gas utilization rate. The invention achieves the highly-effective reduction of powdered iron ore in a fluidized bed under near-atmospheric pressure. A reduction method based on the present system is also disclosed.