We have developed an improved HVOF spray process called “Gas-shrouded HVOF” (GS-HVOF) over the past several years. By using an extension nozzle at the exit of a commercial HVOF spray gun, GS-HVOF is capable of controlling the oxidation of sprayed materials during flight as well as achieving higher velocity of sprayed particles. These features result in extremely dense and clean microstructure of the sprayed coatings. The process has been successfully applied to corrosion resistant alloys such as SUS316L, Hastelloy C, and alloy 625 as well as cermets such as WC-Cr3C2-Ni. The spray process, coatings microstructure and property evaluation will be discussed with potential industrial applications in the near future.