Based on the development trend of the coal industry and the demand of market users, the paper develops a 2000kW digital planetary reducer for Armoured Face Conveyor (AFC). The reducer and the health management system (HMS) are studied separately, then integrated the HMS with the reducer. Designed the structure of the gearbox input and output with cooling water jacket to meet the working temperature requirements of the HMS hardware. The HMS can monitor various operation signals of the reducer, combined the threshold judgment and the bearing fault diagnosis method based on dual tree complex wavelet transform and BP neural network to build a fault diagnosis model, process the monitoring data in real time, analyze and judge the reducer operation fault, and give the early warning and pre diagnosis results. The vibration isolation structure for HMS hardware installation is designed to reduce the vibration impact during reducer operation. After the type test and industrial test, the parameters of developed digital reducer are better than the standard provisions, fully meet the design and use requirements.