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The formation of a protective chromium carbide passive film makes austenitic stainless steel (ASS) alloys suitable for corrosive and high-temperature environments. This paper examined the transformation of the microstructure, corrosion, and mechanical properties of gas tungsten arc welded 316 austenitic stainless steel. The scientific principles governing metallurgical transformation and corrosion dynamics were discussed. The review shows that passive film on 316L ASS gradually erodes as the concentration of chloride ion rises. Metallurgical properties of FZ are completely changed, and solid-state transformation occurs at HAZ during the GTA welding process. These transformations affect the microstructure, corrosion, and mechanical properties of GTA welded ASS alloys.