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In present-day at New York City, an elderly woman and her granddaughter are walking through Central Park, looking for a memorial statue. As they seat themselves for a rest, the grandmother tells a story about Nome, Alaska, back in 1925 which shifts the film from live-action to animation.
Balto, a wolfdog hybrid, lives on the outskirts of Nome with his best friend and adoptive father, a snow goose named Boris and two polar bears, Muk and Luk. Being half-breed, Balto is ridiculed by dogs and humans alike. His only friend in town is a red husky named Jenna who Balto has a crush on and is challenged by the town's favorite sled dog, Steele, a fierce and arrogant purebred Alaskan Malamute. That night, all the children, including Jenna's owner, Rosie, fall ill with diphtheria. Severe winter weather conditions prevent medicine from being brought by air or sea, and the closest rail line ends in Nenana. A dog race is held to determine the best-fit dogs for a sled dog team to get the medicine. Balto enters and wins, but Steele exposes his wolf-dog heritage, resulting in him being disqualified...