Abstract: The applications of underwater explosion in military and economic development were reviewed and its potential application in industry was explored. Based on the unique properties of underwater shock waves, the underwater explosive welding and underwater explosive compaction were advanced. The characteristic wavy morphology observed in the scanning electron microscope image of the welded sample indicates that the underwater explosive welding can be an alternative bonding method for materials with thin thickness and low formability and the corresponding suitable welding parameters can be determined. The pattern of the interfacial oscillations is an indication of the bonding strength. Powder mixtures could be densified under the action of underwater shock wave and the dispersion strengthened coating on pure copper surface was prepared by using underwater explosive welding. Micro-structural characteristics display that the coating layer has a uniform and fine-grained composite structure. And the measured high hardness shows that the coating layer has sound mechanical properties.