The invention discloses a high-performance wrench and a manufacturing method thereof, belonging to the technical field of powder metallurgy. The high-performance wrench comprises the raw materials inpercentage by weight: 0.1-1% of Pd, 0.2-0.6% of Au, 0.4-0.6% of Cu, 2-4% of Ni, 0.5-1.5% of Li and the balance of Fe. Li is added in the raw materials as a degassing agent and can be reacted with hydrogen, oxygen, sulfur, nitrogen and other gas elements in the alloy to form a compound which is small in density and low in melting point, so that the mechanical performance of the alloy is improved; Pd is added, so that particles can be refined during pre-alloying, and the corrosion-resistance, the mechanical performance and alloy color of the metal can be improved; and meanwhile, alloy powder canbe obtained more rapidly by utilizing a microbial chemistry method, and the separation rate of metal elements in a solution is above 99%.