A cost-effective carbon-free nanocoating strategy was developed for the synthesis of ultra-fine SnO2 coatingα-Fe2O3 core-shell nanoparticles. This strategy only involves a two-step molten salt reaction at low temperature of 300 °C. The as-preparedα-Fe2O3@SnO2 core-shell nanocomposites show enhanced electrochemical performances than the bareα-Fe2O3 nanoparticles. This involved metal oxide nanocoating method is easy to be carried out, and the heat treatment temperature is much lower than that of other traditional solid-state annealing method and many carbon or metal oxide nanocoating methods. The molten salt method may also be used to produce other metal oxides coating nanostructures as the electrode materials for lithium-ion batteries.