This work demonstrated a facile route for the synthesis of poly(3,5-dimethyl aniline) nanofibers by polymerization of 3,5-dimethyl aniline using Pd-acetate as the oxidant. The reduction of Pd ion is accompanied by oxidative polymerization of 3,5-dimethyl aniline, leading to a metal-polymer composite material. Palladium nanoparticles (similar to 2 nm) are uniformly distributed throughout the polymer that makes the composite material a unique morphology. The resultant composite material was characterized by means of different techniques. IR and Raman spectra provide the information on the chemical structure of the polymer. TEM images show the morphology of the polymer and size of the metal particles.