Surface engineering is one of the most viable methods, in addition to development of new alloys and equipment design, to minimize degradation due to cavitation erosion, and corrosion. Laser surface cladding is relatively a newer engineering technique to produce metallurgically bonded coating for industrial applications due to its inherent benefits. Present paper reports the results obtained on the laser cladding of stainless steel with tungsten carbide (WC) and stellite alloy powder using high power diode laser (HPDL) at various laser parameters. Cladded specimens were characterized for erosion, and corrosion resistance. Both WC and stellite cladding have increased the erosion resistance of stainless steels. WC cladding was found to reduce the corrosion resistance of steel while stellite showed it to increase significantly.