diff --git a/docs/examples/advanced-cue/app4.yaml b/docs/examples/advanced-cue/app4.yaml
new file mode 100644
index 000000000..8dedb82be
--- /dev/null
+++ b/docs/examples/advanced-cue/app4.yaml
@@ -0,0 +1,14 @@
+apiVersion: core.oam.dev/v1alpha2
+kind: Application
+metadata:
+  name: testapp4
+spec:
+  components:
+    - name: express-server4
+      type: webserver
+      settings:
+        cmd:
+          - node
+          - server.js
+        image: oamdev/testapp:v1
+        port: 8080
\ No newline at end of file
diff --git a/docs/examples/advanced-cue/webserver.yaml b/docs/examples/advanced-cue/webserver.yaml
new file mode 100644
index 000000000..0666cda58
--- /dev/null
+++ b/docs/examples/advanced-cue/webserver.yaml
@@ -0,0 +1,89 @@
+apiVersion: core.oam.dev/v1alpha2
+kind: WorkloadDefinition
+metadata:
+  name: webserver
+  annotations:
+    definition.oam.dev/description: "webserver was composed by deployment and service"
+spec:
+  definitionRef:
+    name: deployments.apps
+  extension:
+    template: |
+      output: {
+      	apiVersion: "apps/v1"
+      	kind:       "Deployment"
+      	spec: {
+      		selector: matchLabels: {
+      			"app.oam.dev/component": context.name
+      		}
+      		template: {
+      			metadata: labels: {
+      				"app.oam.dev/component": context.name
+      			}
+      			spec: {
+      				containers: [{
+      					name:  context.name
+      					image: parameter.image
+
+      					if parameter["cmd"] != _|_ {
+      						command: parameter.cmd
+      					}
+
+      					if parameter["env"] != _|_ {
+      						env: parameter.env
+      					}
+
+      					if context["config"] != _|_ {
+      						env: context.config
+      					}
+
+      					ports: [{
+      						containerPort: parameter.port
+      					}]
+
+      					if parameter["cpu"] != _|_ {
+      						resources: {
+      							limits:
+      								cpu: parameter.cpu
+      							requests:
+      								cpu: parameter.cpu
+      						}
+      					}
+      				}]
+      		}
+      		}
+      	}
+      }
+      // workload can have extra object composition by using 'outputs' keyword
+      outputs: service: {
+      	apiVersion: "v1"
+      	kind:       "Service"
+      	spec: {
+      		selector: {
+      			"app.oam.dev/component": context.name
+      		}
+      		ports: [
+      			{
+      				port:       parameter.port
+      				targetPort: parameter.port
+      			},
+      		]
+      	}
+      }
+      parameter: {
+      	image: string
+      	cmd?: [...string]
+      	port: *80 | int
+      	env?: [...{
+      		name:   string
+      		value?: string
+      		valueFrom?: {
+      			secretKeyRef: {
+      				name: string
+      				key:  string
+      			}
+      		}
+      	}]
+      	cpu?: string
+      }
+
diff --git a/pkg/controller/core.oam.dev/v1alpha2/application/application_controller_test.go b/pkg/controller/core.oam.dev/v1alpha2/application/application_controller_test.go
index 6f5938ad1..7559c2572 100644
--- a/pkg/controller/core.oam.dev/v1alpha2/application/application_controller_test.go
+++ b/pkg/controller/core.oam.dev/v1alpha2/application/application_controller_test.go
@@ -25,6 +25,8 @@ import (
 	"net/http/httptest"
 	"time"
 
+	"github.com/stretchr/testify/assert"
+
 	"github.com/crossplane/crossplane-runtime/apis/core/v1alpha1"
 	"github.com/google/go-cmp/cmp"
 	. "github.com/onsi/ginkgo"
@@ -154,6 +156,9 @@ var _ = Describe("Test Application Controller", func() {
 	wd := &v1alpha2.WorkloadDefinition{}
 	wDDefJson, _ := yaml.YAMLToJSON([]byte(wDDefYaml))
 
+	webserverwd := &v1alpha2.WorkloadDefinition{}
+	webserverwdJson, _ := yaml.YAMLToJSON([]byte(webserverYaml))
+
 	td := &v1alpha2.TraitDefinition{}
 	tDDefJson, _ := yaml.YAMLToJSON([]byte(tDDefYaml))
 
@@ -176,6 +181,9 @@ var _ = Describe("Test Application Controller", func() {
 		Expect(json.Unmarshal(sdDefJson, sd)).Should(BeNil())
 		Expect(k8sClient.Create(ctx, sd.DeepCopy())).Should(SatisfyAny(BeNil(), &util.AlreadyExistMatcher{}))
 
+		Expect(json.Unmarshal(webserverwdJson, webserverwd)).Should(BeNil())
+		Expect(k8sClient.Create(ctx, webserverwd.DeepCopy())).Should(SatisfyAny(BeNil(), &util.AlreadyExistMatcher{}))
+
 	})
 	AfterEach(func() {
 	})
@@ -326,6 +334,97 @@ var _ = Describe("Test Application Controller", func() {
 		Expect(k8sClient.Delete(ctx, app)).Should(BeNil())
 	})
 
+	It("app-with-composedworkload-trait will create workload and trait", func() {
+		compName := "myweb-composed-3"
+		expDeployment := getExpDeployment(compName)
+		ns := &corev1.Namespace{
+			ObjectMeta: metav1.ObjectMeta{
+				Name: "vela-test-with-composedworkload-trait",
+			},
+		}
+		var appname = "app-with-composedworkload-trait"
+		appWithComposedWorkload := appwithNoTrait.DeepCopy()
+		appWithComposedWorkload.Spec.Components[0].WorkloadType = "webserver"
+		appWithComposedWorkload.SetName(appname)
+		appWithComposedWorkload.Spec.Components[0].Traits = []v1alpha2.ApplicationTrait{
+			{
+				Name:       "scaler",
+				Properties: runtime.RawExtension{Raw: []byte(`{"replicas":2}`)},
+			},
+		}
+		appWithComposedWorkload.Spec.Components[0].Name = compName
+		appWithComposedWorkload.SetNamespace(ns.Name)
+		Expect(k8sClient.Create(ctx, ns)).Should(BeNil())
+		app := appWithComposedWorkload.DeepCopy()
+		Expect(k8sClient.Create(ctx, app)).Should(BeNil())
+
+		appKey := client.ObjectKey{
+			Name:      app.Name,
+			Namespace: app.Namespace,
+		}
+		reconcileRetry(reconciler, reconcile.Request{NamespacedName: appKey})
+
+		By("Check App running successfully")
+		checkApp := &v1alpha2.Application{}
+		Expect(k8sClient.Get(ctx, appKey, checkApp)).Should(BeNil())
+		Expect(checkApp.Status.Phase).Should(Equal(v1alpha2.ApplicationRunning))
+
+		By("Check AppConfig and trait created as expected")
+		appConfig := &v1alpha2.ApplicationConfiguration{}
+		Expect(k8sClient.Get(ctx, client.ObjectKey{
+			Namespace: app.Namespace,
+			Name:      app.Name,
+		}, appConfig)).Should(BeNil())
+
+		Expect(len(appConfig.Spec.Components[0].Traits)).Should(BeEquivalentTo(2))
+
+		gotTrait := unstructured.Unstructured{}
+		By("Check the first trait should be service")
+		expectServiceTrait := unstructured.Unstructured{Object: map[string]interface{}{
+			"apiVersion": "v1",
+			"kind":       "Service",
+			"metadata": map[string]interface{}{
+				"labels": map[string]interface{}{"trait.oam.dev/type": "AuxiliaryWorkload"},
+			},
+			"spec": map[string]interface{}{
+				"ports": []interface{}{
+					map[string]interface{}{"port": int64(80), "targetPort": int64(80)},
+				},
+				"selector": map[string]interface{}{
+					"app.oam.dev/component": compName,
+				},
+			},
+		}}
+		Expect(json.Unmarshal(appConfig.Spec.Components[0].Traits[0].Trait.Raw, &gotTrait)).Should(BeNil())
+		fmt.Println(cmp.Diff(expectServiceTrait, gotTrait))
+		Expect(assert.ObjectsAreEqual(expectServiceTrait, gotTrait)).Should(BeTrue())
+
+		By("Check the second trait should be scaler")
+		gotTrait = unstructured.Unstructured{}
+		Expect(json.Unmarshal(appConfig.Spec.Components[0].Traits[1].Trait.Raw, &gotTrait)).Should(BeNil())
+		Expect(gotTrait).Should(BeEquivalentTo(expectScalerTrait))
+
+		By("Check component created as expected")
+		component := &v1alpha2.Component{}
+		Expect(k8sClient.Get(ctx, client.ObjectKey{
+			Namespace: app.Namespace,
+			Name:      compName,
+		}, component)).Should(BeNil())
+		Expect(component.ObjectMeta.Labels).Should(BeEquivalentTo(map[string]string{"application.oam.dev": appname}))
+		Expect(component.ObjectMeta.OwnerReferences[0].Name).Should(BeEquivalentTo(appname))
+		Expect(component.ObjectMeta.OwnerReferences[0].Kind).Should(BeEquivalentTo("Application"))
+		Expect(component.ObjectMeta.OwnerReferences[0].APIVersion).Should(BeEquivalentTo("core.oam.dev/v1alpha2"))
+		Expect(component.ObjectMeta.OwnerReferences[0].Controller).Should(BeEquivalentTo(pointer.BoolPtr(true)))
+		gotD := &v1.Deployment{}
+		expDeployment.ObjectMeta.Labels["workload.oam.dev/type"] = "webserver"
+		expDeployment.Spec.Template.Spec.Containers[0].Ports = []corev1.ContainerPort{{ContainerPort: 80}}
+		Expect(json.Unmarshal(component.Spec.Workload.Raw, gotD)).Should(BeNil())
+		fmt.Println(cmp.Diff(expDeployment, gotD))
+		Expect(gotD).Should(BeEquivalentTo(expDeployment))
+
+		Expect(k8sClient.Delete(ctx, app)).Should(BeNil())
+	})
+
 	It("app-with-trait-and-scope will create workload, trait and scope", func() {
 		expDeployment := getExpDeployment("myweb4")
 		ns := &corev1.Namespace{
@@ -767,6 +866,97 @@ spec:
 
           cmd?: [...string]
       }
+`
+
+	webserverYaml = `apiVersion: core.oam.dev/v1alpha2
+kind: WorkloadDefinition
+metadata:
+  name: webserver
+  annotations:
+    definition.oam.dev/description: "webserver was composed by deployment and service"
+spec:
+  definitionRef:
+    name: deployments.apps
+  extension:
+    template: |
+      output: {
+      	apiVersion: "apps/v1"
+      	kind:       "Deployment"
+      	spec: {
+      		selector: matchLabels: {
+      			"app.oam.dev/component": context.name
+      		}
+      		template: {
+      			metadata: labels: {
+      				"app.oam.dev/component": context.name
+      			}
+      			spec: {
+      				containers: [{
+      					name:  context.name
+      					image: parameter.image
+
+      					if parameter["cmd"] != _|_ {
+      						command: parameter.cmd
+      					}
+
+      					if parameter["env"] != _|_ {
+      						env: parameter.env
+      					}
+
+      					if context["config"] != _|_ {
+      						env: context.config
+      					}
+
+      					ports: [{
+      						containerPort: parameter.port
+      					}]
+
+      					if parameter["cpu"] != _|_ {
+      						resources: {
+      							limits:
+      								cpu: parameter.cpu
+      							requests:
+      								cpu: parameter.cpu
+      						}
+      					}
+      				}]
+      		}
+      		}
+      	}
+      }
+      // workload can have extra object composition by using 'outputs' keyword
+      outputs: service: {
+      	apiVersion: "v1"
+      	kind:       "Service"
+      	spec: {
+      		selector: {
+      			"app.oam.dev/component": context.name
+      		}
+      		ports: [
+      			{
+      				port:       parameter.port
+      				targetPort: parameter.port
+      			},
+      		]
+      	}
+      }
+      parameter: {
+      	image: string
+      	cmd?: [...string]
+      	port: *80 | int
+      	env?: [...{
+      		name:   string
+      		value?: string
+      		valueFrom?: {
+      			secretKeyRef: {
+      				name: string
+      				key:  string
+      			}
+      		}
+      	}]
+      	cpu?: string
+      }
+
 `
 	wDDefWithHealthYaml = `
 apiVersion: core.oam.dev/v1alpha2
diff --git a/pkg/controller/core.oam.dev/v1alpha2/applicationconfiguration/applicationconfiguration_without_traitdefinition_test.go b/pkg/controller/core.oam.dev/v1alpha2/applicationconfiguration/applicationconfiguration_without_traitdefinition_test.go
index 688ff7d3e..28a2b9e8b 100644
--- a/pkg/controller/core.oam.dev/v1alpha2/applicationconfiguration/applicationconfiguration_without_traitdefinition_test.go
+++ b/pkg/controller/core.oam.dev/v1alpha2/applicationconfiguration/applicationconfiguration_without_traitdefinition_test.go
@@ -175,7 +175,7 @@ spec:
 			LabelSelector: selector,
 		})
 		Expect(err).Should(BeNil())
-		traitNamePrefix := fmt.Sprintf("%s-dummy-", componentName)
+		traitNamePrefix := fmt.Sprintf("%s-trait-", componentName)
 		var traitExistFlag bool
 		for _, t := range scaleList.Items {
 			if strings.HasPrefix(t.Name, traitNamePrefix) {
diff --git a/pkg/dsl/definition/template.go b/pkg/dsl/definition/template.go
index 32d8c174c..4014072de 100644
--- a/pkg/dsl/definition/template.go
+++ b/pkg/dsl/definition/template.go
@@ -29,6 +29,12 @@ const (
 	PatchFieldName = "patch"
 )
 
+const (
+	// AuxiliaryWorkload defines the extra workload obj from a workloadDefinition,
+	// e.g. a workload composed by deployment and service, the service will be marked as AuxiliaryWorkload
+	AuxiliaryWorkload = "AuxiliaryWorkload"
+)
+
 var (
 	metadataAccessor = meta.NewAccessor()
 )
@@ -99,6 +105,23 @@ func (wd *workloadDef) Complete(ctx process.Context) error {
 			return errors.WithMessagef(err, "workloadDef %s new base", wd.name)
 		}
 		ctx.SetBase(base)
+
+		// we will support outputs for workload composition, and it will become trait in AppConfig.
+		outputs := inst.Lookup(OutputsFieldName)
+		st, err := outputs.Struct()
+		if err == nil {
+			for i := 0; i < st.Len(); i++ {
+				fieldInfo := st.Field(i)
+				if fieldInfo.IsDefinition || fieldInfo.IsHidden || fieldInfo.IsOptional {
+					continue
+				}
+				other, err := model.NewOther(fieldInfo.Value)
+				if err != nil {
+					return errors.WithMessagef(err, "parse WorkloadDefinition %s outputs(%s)", wd.name, fieldInfo.Name)
+				}
+				ctx.PutAssistants(process.Assistant{Ins: other, Type: AuxiliaryWorkload})
+			}
+		}
 	}
 	return nil
 }
diff --git a/pkg/dsl/process/handle.go b/pkg/dsl/process/handle.go
index 5fb3f6ba8..ef2d91edd 100644
--- a/pkg/dsl/process/handle.go
+++ b/pkg/dsl/process/handle.go
@@ -20,7 +20,9 @@ type Context interface {
 
 // Assistant are objects rendered by definition template.
 type Assistant struct {
-	Ins  model.Instance
+	Ins model.Instance
+	// Type will be used to mark definition label for OAM runtime to get the CRD
+	// It's now required for trait and main workload object. Extra workload CR object will not have the type.
 	Type string
 }
 
diff --git a/pkg/oam/util/helper.go b/pkg/oam/util/helper.go
index 865106120..a79d85e26 100644
--- a/pkg/oam/util/helper.go
+++ b/pkg/oam/util/helper.go
@@ -51,7 +51,7 @@ const (
 	Dummy = "dummy"
 
 	// DummyTraitMessage is a message for trait which don't have definition found
-	DummyTraitMessage = "No valid TraitDefinition found, all framework capabilities will work as default or disabled"
+	DummyTraitMessage = "No TraitDefinition found, all framework capabilities will work as default"
 
 	// DefinitionNamespaceEnv is env key for specifying a namespace to fetch definition
 	DefinitionNamespaceEnv = "DEFINITION_NAMESPACE"
@@ -417,7 +417,7 @@ func RawExtension2Map(raw *runtime.RawExtension) (map[string]interface{}, error)
 // GenTraitName generate trait name
 func GenTraitName(componentName string, ct *v1alpha2.ComponentTrait, traitType string) string {
 	var traitMiddleName = TraitPrefixKey
-	if traitType != "" {
+	if traitType != "" && traitType != Dummy {
 		traitMiddleName = strings.ToLower(traitType)
 	}
 	return fmt.Sprintf("%s-%s-%s", componentName, traitMiddleName, ComputeHash(ct))
diff --git a/pkg/oam/util/helper_test.go b/pkg/oam/util/helper_test.go
index 6621a48cf..b30c34ff7 100644
--- a/pkg/oam/util/helper_test.go
+++ b/pkg/oam/util/helper_test.go
@@ -851,6 +851,12 @@ func TestGenTraitName(t *testing.T) {
 			definitionName: "",
 			exp:            "simple-trait-67b8949f8d",
 		},
+		{
+			name:           "service",
+			template:       &v1alpha2.ComponentTrait{},
+			definitionName: "dummy",
+			exp:            "service-trait-67b8949f8d",
+		},
 		{
 			name: "simple",
 			template: &v1alpha2.ComponentTrait{
diff --git a/pkg/serverlib/capability.go b/pkg/serverlib/capability.go
index cc94885f3..3f2772586 100644
--- a/pkg/serverlib/capability.go
+++ b/pkg/serverlib/capability.go
@@ -16,12 +16,10 @@ import (
 	"sigs.k8s.io/controller-runtime/pkg/client"
 
 	"github.com/oam-dev/kubevela/apis/core.oam.dev/v1alpha2"
-
-	"github.com/oam-dev/kubevela/pkg/oam/discoverymapper"
-	"github.com/oam-dev/kubevela/pkg/oam/util"
-
 	"github.com/oam-dev/kubevela/apis/types"
 	cmdutil "github.com/oam-dev/kubevela/pkg/commands/util"
+	"github.com/oam-dev/kubevela/pkg/oam/discoverymapper"
+	"github.com/oam-dev/kubevela/pkg/oam/util"
 	"github.com/oam-dev/kubevela/pkg/plugins"
 	"github.com/oam-dev/kubevela/pkg/server/apis"
 	"github.com/oam-dev/kubevela/pkg/utils/helm"