Industrial spent MoSi₂-based materials and HfO₂ were recycled as raw materials to fabricate MoSi₂-HfO₂ composite coating by spark plasma sintering (SPS). The microstructural evolution of the coatings was characterized and the 1500 °C oxidation behavior was explored. Cracks penetrated through the MoSi₂ coating while no cracks can be found in the HfO₂-containing composite coating owing to the reduction of the mismatch of thermal expansion coefficient (CTE). Good metallurgical bonding was exhibited since (Mo,Nb)₅Si₃ diffusion layer was found in the HfO₂-containing coating by the diffusion of Nb and Si across the interface without gaps. After 1500 °C oxidation of 20 h, cracks appeared in the surface of SiO₂ layer on MoSi₂ coating while the HfO₂-containing composite coating possessed crack-free oxide scale. HfSiO₄ with high temperature (>2900 °C) is formed during oxidation and it inlays in the silica oxide scale to improve the stability. Compared to MoSi₂ coating, Nb coated MoSi₂-HfO₂ has thinner oxide scale with lower mass gain during oxidation, thus presenting better high-temperature anti-oxidation properties.