The wear properties and microstructure of CO₂ laser cladded Ni-based alloy coatings with 1wt.% nano-CeO₂ and 20wt.% WC addition(CeO₂/Ni) was compared with Ni-based coatings with 1wt.% nano-CeO₂ addition(WC-CeO₂/Ni). Both coatings were successfully cladded on 30CrMnSiNi2A steel with good metallurgical bounding to substrate. The influence of ultra-fine carbide WC on the microstructure of WC-CeO₂/Ni alloy composite coatings were investigated by X-ray diffraction (XRD), scanning electron microscopy (SEM) coupled with energy dispersive spectroscopy (EDS) and electron probe micro analysis (EPMA). WC addition increased M₂₃C₆ content, the M₇C₃ decreased. The comparison of comprehensive mechanical properties between coatings with and without fine WC particles were conducted on Vickers hardness and wear-resistance test system. Results indicated that the performance of WC-CeO₂/Ni is better than CeO₂/Ni MMC. Few hot cracks appeared in Ni-based WC-CeO₂ metal matrix composition (MMC) production, which were investigated by SEM and EDS. The crack mechanism can be claimed as Fe dilution and coefficient of thermal expansion for WC-CeO₂/Ni MMC differed from that of base material 30CrMnSiNi2A steel.