The present invention relates to a method for generating a tunnel forwarding entry and a network device. An active master node in a virtual cluster network element VNE generates, according to a preconfigured tunnel service, tunnel service information with the VNE being a single network element; the active master node determines multiple nodes through which a tunnel that corresponds to the tunnel service information passes in the VNE, and node statuses of the multiple nodes through which the tunnel passes in the VNE; and local tunnel forwarding entries are generated, according to the tunnel service information and the node statuses of the multiple nodes through which the tunnel passes in the VNE, for the multiple nodes through which the tunnel passes in the VNE.