The Fe-based alloy coating was produced on the surface of P20 steel plate by electro-spark deposition ( ESD) technique, and the microstructure and wear properties of the coating were investigated by SEM, XRD and friction and wear test machine. The results show that the coating has homogenous and dense structure with fine dendritic structure in the bottom of the coating and ultra-fine grains in the middle and upper coating. The average hardness of the coating is 637 . 1 HV0 . 1 .The wear resistance of the ESD coating is much higher than the substrate. Dispersion strengthening result from hard phases such as Cr₇C₃,CrB,Fe₃C is the main factor leading to high hardness as well as wear resistance of the coating. The wear mechanism are mainly abrasive wear and fatigue wear.