In this work, polypyrrole/nano-Y2O3 conducting composite was synthesized by chemical oxidative polymerization. The composite was characterized using transmission electron microscopy, X-ray diffraction, Fourier-transform infrared spectra, UV-vis absorption spectra, X-ray photoelectron spectroscopy and electrical conductivity measurements. The results indicate that Y2O3 nanoparticles are almost enwrapped by polypyrrole. The addition Of Y2O3 nanoparticles results in changes in the surface structure and conductivity of the composite. Thermogravimetric analysis shows that composite has better thermal stability than that of pure polypyrrole. (c) 2006 Elsevier B.V All rights reserved.