A thermal spray composite is disclosed, comprised of a base constituent formed from at least one of the metals nickel, iron, cobalt and chromium, plus additional constituents comprising aluminum and yttrium oxide. Optionally, the base constituent additionally contains aluminum, and the additional constituents may further include molybdenum and/or cobalt. In a preferred form, the composite is a powder having an alloy core of the base constituent, the core having fine particles of the additional elements secured thereto with a binder. The process of thermal spraying the composite is also disclosed, and the resulting coatings have a high degree of high temperature corrosion resistance and tenacity compared to prior art thermal sprayed coatings.