The investigation of thermal deformation behavior plays a significant role in guaranteeing the overall performance of alloy materials. In this manuscript, a series of isothermal compression tests at different temperatures (300, 350, 400, and 450 °C) and strain rates (0.001, 0.01, 0.1, and 1 s−1) were conducted to study the thermal deformation behavior of 7075 aluminum alloy. Subsequently, processing maps at a strain from 0.4 to 1.39 were established according to the stress–strain data obtained from various deformation parameters. The microstructural evolution of the target alloy was observed with an optical microscope and transmission electron microscope. The results reveal the unstable regions are located at (360–450 °C, 0.04–1 s−1) and (300–315 °C, 0.01–0.22 s−1). Precipitation particles, pinned dislocations, and highly dislocated areas can be observed in the microstructure of the alloy in the unstable regions. This is a potential crack and defect formation point. The identified optimum processing parameters are located at (375–450 °C, 0.001–0.03 s−1), with a maximum dissipation efficiency of 0.6.