A multifunctional composite drug coating sustained release system includes a transition layer and a drug-loaded degradable coating, wherein the transition layer is a ceramic transition layer having different porosities and the transition layer includes a dense lower layer and a porous upper layer. The multifunctional composite drug coating sustained release system is helpful to internal fixation and also has an antibacterial efficacy. A method for manufacturing the multifunctional composite drug coating sustained release system is also disclosed which includes: preparing a biocompatible ceramic transition layer on a metal surface and then preparing a drug-loaded degradable coating on a surface of the biocompatible ceramic transition layer.