Aiming at the overvoltage problem during fault recovery of DC distribution system, this paper studies the generation mechanism and suppression method of overvoltage. This paper first introduces the topology of typical DC distribution system and gives the current and voltage fault characteristics of two core converter equipments (two-level VSC and DC/DC converter) under bipolar short-circuit fault. Based on the equivalent circuit of the normal system after fault isolation, the generation mechanism and influencing factors of fault recovery overvoltage are analyzed. It is found that the root cause of fault recovery overvoltage is the inconsistent voltage drop rate of each converter during the fault. Then, on this basis, the matching design principle of the outlet current limiting of each converter is proposed to ensure the same voltage drop rate of the converter and the breaking capacity of the DC circuit breaker. The fault current limiting and fault recovery overvoltage are also taken into account. The simulation results of PSCAD/EMTDC show that the proposed method has good overvoltage suppression effect.