In order to improve the residual stress and torsional deformation of parts fabricated by addition and subtraction hybrid manufacturing, and to enhance the machining accuracy and surface quality of parts, a simulation method based on Simufact Welding（SW） finite element software was developed. This paper used SW software to simulate the effect of laser power, scanning speed, and spot diameter on the distribution of residual stress in the laser additive process. The distribution of residual stress on the inner and outer surfaces of parts was measured using an X-ray stress tester. The experimental data were plotted using MATLAB. Distribution law was found by the residual stress three-dimensional contour plot, which reflected to a certain extent the root cause of the deformation of parts fabricated by addition and subtraction hybrid manufacturing. Using the same process parameters, the residual stress simulation results agreed well with the experimentally measured residual stresses, with an error of 10%.