Abstract: Objective To explore the effect of heat-induced moxibustion combined with functional training on rehabilitation of knee osteoarthritis and its effect on joint function. Methods Sixty-four patients with knee osteoarthritis treated from June 2017 to March 2018 were selected as subjects and divided into the control group (n=32) and the observation group (n=32) using a random number table. Control group was given thermal moxibustion treatment, and the observation group was provided with joint function training on the basis of the control group. Three months after treatment, the treatment effect was evaluated via the JOA knee function score respectively from pain and walking ability of pain, swelling, up and down the stairs and flexion angle and the rigidity, highly evaluating contracture of joint function in patients with four aspects. The knee osteoarthritis quality of life scale was used to evaluate the effect of patients from five dimensions of society, body, work, symptoms and influence, and to compare the clinical effect, joint function and quality of life of the two groups. Results The total effective rate of thermal moxibustion combined with functional exercise for 3 months in the observation group was 93.75%, significantly higher than 71.88% in the control group (P<0.05). The scores of pain, walking ability, swelling, ability of walking up and down stairs, flexion Angle, rigidity and height contracture were all higher in the two groups 3 months after treatment than before treatment (all P<0.05). The scores of pain, walking ability, swelling, ability of walking up and down stairs, flexion Angle, rigidity and height contracture in the observation group were all higher than those in the control group (all P<0.05). After 3 months of treatment, the scores of social, physical, work, symptom and influence in both groups were higher than those before treatment (all P<0.05) while the scores in the observation group were all higher than those in the control group (all P<0.05). Conclusion The application of thermal moxibustion combined with functional training in the rehabilitation treatment of knee osteoarthritis can achieve a relatively high short-term efficacy, which is helpful to improve the joint function of patients, promote the recovery of knee joint function, improve the clinical symptoms of patients, and thus improve the quality of life of patients.