Provided are a power system module allowing a user's requirements to be easily met, and having economic practicality and high integration, and a manufacturing method thereof. The power system module includes a plastic case, a molding type power module package, a control circuit board, and at least one external terminal. The plastic case defines a bottom and a side wall. The molding type power module package is fixed to the bottom of the plastic case and includes at least a power device therein. The control circuit board is fixed to the side wall of the plastic case, includes at least a control device mounted thereon which is electrically connected to the power module package. The external terminal protrudes to outside the plastic case and is electrically connected to the control circuit board.