The dynamic response of the rotor system in a ring die granulator is complex and difficult to solve when it operates under joint external, support and gear mesh forces. To solve this problem, a finite element method and extrusion theory was applied in this study to develop a dynamic coupling model for a hollow overhung rotor with external load excitation. A Newmark-β numerical integration method was used to solve for the dynamic response of the overhung rotor under multiple excitation forces. The results included time-domain response diagrams, frequency-domain response diagrams, phase diagrams, Poincaré section diagrams, and bifurcation diagrams. The model and the method were verified by testing a ring die granulator. On this basis, the dynamic response of the system is predicted according to the influence of different parameters. As the bearing support distance increased, the roller eccentricity decreased, the bearing clearance decreased, the response of the rotor system was significantly optimized, and the system tended to stabilize gradually. Therefore, this paper provides a theoretical basis and experimental verification for the optimization of a pelleting machine transmission structure.