Magnesium matrix composites reinforced with two volume fractions (1 and 3%) of SiC particles (1 mu m) were successfully fabricated by ultrasonic vibration. Compared with as-cast AZ91 alloy, with the addition of the SiC particles grain size of matrix decreased, while most of the phase Mg(17)Al(12) varied from coarse plates to lamellar precipitates in the SiCp/AZ91 composites. With increasing volume fraction of the SiC particles, grains of matrix in the SiCp/AZ91 composites were gradually refined. The SiC particles were located mainly at grain boundaries in both 1 vol% SiCp/AZ91 composite and 3 vol% SiCp/AZ91 composite. SiC particles inside the particle clusters may be still separated by magnesium. The study of the interface between the SiC particle and the alloy matrix suggested that SiC particles bonded well with the alloy matrix without interfacial reaction. The ultimate tensile strength, yield strength, and elongation to fracture of the SiCp/AZ91 composites were simultaneously improved compared with that of the as-cast AZ91 alloy.