The invention discloses a cashmere overcoat with a high shape preserving property and an antibacterial function and a manufacturing process thereof and belongs to the technical field of garment manufacturing of cashmere surface and lining. According to the method, the grey cloth is washed, so the treated grey cloth is more fluffy, plump, soft and smooth, after the grey cloth is subjected to nickel catalytic chlorination treatment, effective chloride ions in hypochlorous acid can be fully utilized, the stripping effect on grey cloth scales is enhanced, meanwhile, damage to wool fibers is reduced, and compared with direct chlorination, the wool fibers are less damaged; hand feeling, fineness, strength and other properties of the modified wool are more uniform, the gray fabric is steamed to achieve flat appearance, flexible hand feeling and shaping effect, the shrinkage rate and the steaming shrinkage rate of the gray fabric are improved, crosspiece marks can be prevented, the shrinkage rates in the warp and weft directions are 0.01% and 0.15% respectively, the wrinkle recovery angle is corrected to be 295 degrees, the gray fabric is more stiff, soft and smooth, and combination of the antibacterial agent and the fabric can be firmer through high-temperature baking.