The invention relates to a ferritic oxide dispersion strengthened alloy with enhanced room temperature and high temperature strength containing Cr in a range of from 12 to 20wt%, Y2O3 in a range of from 0.1 to 0.5wt%, W 0.1 to4wt%, Mo 0.5 to 2 wt%, Ti 0.1 to 0.3 wt%, and Zr 0.02 to 0.3 wt%, and Fe, and a manufacturing method thereof. The ferritic oxide dispersion strengthened alloy is advantageous in that under the 700-degree temperature condition, the anti-tensioning performance is good, the alloy can be used for the supercritical steam generator part (rotor wings, and shafts) used for the thermal power, airplane engine part (circular discs, and effusers), and sodium-cooled fast reactor and other nuclear power system reactor core structural parts such as nuclear coating tube, conduits, conductors, and end plugs).