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Long time ago, there was two frontier magical kingdoms named Greenland, whose inhabitants live in an eternal summer, and Iceland, whose inhabitants live in an eternal winter. Protected by dragons, both kingdoms lived quiet and happy until the day that an evil wizard named Arktos killed all dragons but two, Tyrion and Mythia, that fled to arrive at the border of Greenland for saving the egg of their unborn baby Tabaluga before Arktos finally kill them. But before to die, Mythia meets the old crow Kolk, who promises Mythia to care the dragon and protect from Iceland and Arktos. A few years later, Tabaluga is a young dragon unable to fly and spit fire, for mock of the rest of the Greenland's animals. Always with his friend the male ladybug Bully at his side, one day Tabaluga and Bully find in a rock a message of his mother but the dragon misunderstands it due that it's partially covered. Entering in Iceland to find his fire, Tabaluga meets beauty ice princess Lilli and her friend the lighthearted polar bear Limbo. Not knowing the happened years before, Lilli takes Tabaluga to meet Arktos, now turned in Iceland's king. Pretending to be friendly, Arktos takes Tabaluga to a secret room in the belief that there he will find his fire, but when Arktos (a living snowman to wants to conquer Greeland to summit everything in an eternal winter) tries to finish the work and kill Tabaluga, Lilli, Bully and Limbo join forces to save him, having to find the way to save too Greenland before Arktos freezes it.