In this work, multi-walled carbon nanotubes (MWNTs) were successfully reinforced in AA 4032 nanocrystalline matrix. The elemental powders of AA 4032 composites were mechanically alloyed in the high energy ball mill for 30 h to get nanocrystalline structure. The carbon nanotubes (CNTs) were added at the 29th hour of ball milling process. The morphological changes during milling were studied, using scanning electron microscope analysis and the distribution of the CNTs within the aluminum matrix was successfully revealed, using transmission electron microscope analysis. The results show that the CNTs are effectively distributed within the aluminum matrix without any structural damage. The variation in the melting point was studied using simultaneous thermal analyzer.