Superfine grinding technology is widely used in various industries, such as food, medicine and chemistry. Traditional superfine grinding methods have some problems in temperature rise, material pollution and environmental pollution. Therefore, a new type of superfine grinding technology, impeller-type turbulence mill (ITTM) driven by a high-speed permanent magnet machine (HSPMM), is studied in this paper to overcome these problems. Firstly, the design processes of the HSPMM and ITTM are proposed. On this basis, the mechanical and electromagnetic losses of the HSPMM are calculated using analytical method and finite element method (FEM), respectively. The power losses are used as the heat source to calculate the temperature field of the HSPMM. Considering the axial and radial temperature gradient, the ITTM rotor thermal stress is investigated by the thermal-stress coupling method. In addition, the computational fluid dynamics (CFD) method is utilized to analyze the superfine grinding mechanism of the ITTM. The HSPMM and ITTM are fabricated and tested to verify the design and analysis. The experimental results show that the ground materials reach the sub-micron level, and the temperature rise of the ground materials is only 30 °C. Compared with other superfine grinding technologies, the developed ITTM has a superior comprehensive performance.