A 20 vol.% SiCp/Al composite was fabricated by squeeze casting, of which a new process for fabricating the preform was used by blending Al powder and SiC particulates with average diameters of 10 and 3.5 μm, respectively. The microstructure of the as-cast and the hot-rolled composite was investigated by using TEM, EDS, and SEM, and their tensile properties were measured at room temperature. The results show that the ultimate tensile strength and ultimate elongation of the hot-rolled composite are 80% and 140% higher than those of the as-cast one. The TEM observation result indicates that there are high density of dislocations and dislocation tangles in the hot-rolled composite. Al2O3 layers in the composite resulting from the surface oxidation of the aluminum powders were damaged to spherical particles during hot rolling. All the results indicate that hot-rolling can improve the mechanical properties of the composite and, therefore, engineering components of the 20 vol.% SiCp/Al composite can be produced by squeeze casting followed by hot-rolling.