The purpose of this study is to fabricate a multi-stage, variable-section and high-speed of the cutting device for recycling carbon fiber from waste hydrogen storage tanks. In this study, a high precision cutting device is fabricated utilizes (i.e., multi-stage, variable-section, high-speed cutting function and a diamond wire tool) to cut various waste hydrogen storage tank carbon fibers into scrap in a short period of time. The fabricated items include the development of diamond wire tools and wheels, cutting feed systems, structural frames, cooling system applications, and hydrogen tank fixing systems. The rotational speed of multi-stage wheel is in range of 0~600 rpm, and feed speed of diamond wire cutting tools is in range of 10–80 mm/min. The results showed that a new precision cutting device is able to cut the waste hydrogen storage tanks more than 400 pieces of performance indicator scrap (200×200 mm) within 8 hours of the cutting time. This confirmed that a new fabricated cutting device is a high speed cutting machine that is feasible for application in waste hydrogen storage tanks recycling in stead of conventional cutting device.