The purpose is to study the wear resistance and corrosion resistance mechanism of Ni-P electroless plating with PTFE composite coating on steel substrate. Electroless Ni-P alloy coating is prepared on the surface of steel materials. The nanoporous layer is prepared on the surface of the Ni-P alloy coating by electrochemical etching technology, and the composite coating with wear and corrosion resistance is prepared after the composite modification of PTFE. The microstructure of the composite coating is characterized with SEM. The wear resistance and corrosion resistance of the composite coating are evaluated by ball-disc wear test and electrochemical test. The wear scar morphology of the composite coating is analyzed by white light interferometer. The hardness of the composite coating does not change. In the ball-disc friction test, the friction coefficient of Ni-P electroless plating increases from 0.12 to 0.4. The friction coefficient of the composite coating increases from 0.08 to 0.2 and remained stable, which effectively reduces the friction coefficient of the coating and improves the wear resistance of the coating. According to the polarization curve，the corrosion current of the composite coating is the lowest，which is 1.88 μA, and there is a passivation range. The fitting results of equivalent circuit in electrochemical impedance spectroscopy show that the impedance modulus of the Ni-P alloy and the composite coating at 0.01 Hz is 1.44×104 Ω.cm2 and 2.75× 104 Ω.cm2. The electrochemical etching+PTFE composite modification can effectively improve the wear and corrosion resistance of Ni-P electroless plating.