The surface modification of engineering materials by laser beam scanning (LBS) allows the improvement of properties in terms of reduced wear, increased corrosion resistance, and better strength. In this study, the laser beam scan method was applied to produce an oxide dispersion strengthened (ODS) structure on a zirconium metal surface. A recrystallized Zircaloy-4 alloy sheet with a thickness of 2 mm, and Y2O3 particles of 10 μm were selected for ODS treatment using LBS. Through the LBS method, the Y2O3 particles were dispersed in the Zircaloy-4 sheet surface at a thickness of 0.4 mm, which was about 20% when compared to the initial sheet thickness. The mean size of the dispersive particles was 20 nm, and the yield strength of the ODS treated plate at 500°C was increased more than 65 % when compared to the initial state. This strength increase was caused by dispersive Y2O3 particles in the matrix and the martensite transformation of Zircaloy-4 matrix by the LBS.