A zirconium alloy with a coating layer formed on a surface comprising a mixed layer, the mixed layer comprises one or more very high temperature oxidation resistant material and zirconium alloy parent material selected from the group consisting of Y2O3, SiO2, ZrO2, Cr2O3, Al2O3, Cr3C2, SiC, ZrC, ZrN, Si and Cr, and in a vertical direction on a boundary between the mixed layer and the zirconium alloy parent material is formed a gradient of compositions between the very high temperature oxidation resistance material and the zirconium alloy parent material.