The present investigation focuses on finding the optimal powder metallurgical process parameters to prepare corrosion resistant AA6061-SiCp metal matrix composite. AA6061 alloy powder was homogenously mixed with various weight percentages of SiCp (5-15 wt %) and compacted at a pressure ranging from 350 to 550 MPa. The green compacts were sintered at temperatures between 400°C and 600°C with sintering time ranging from 1 to 3 hours. Taguchi's L27 orthogonal array of experimental design was used. The effect of processing parameters such as reinforcement percentage, compacting pressure, sintering temperature and sintering time on the performance characteristics of sintered density and micro hardness were studied. Optimal levels of parameters were identified using grey relational analysis, and significant parameter was determined by analysis of variance. Experimental results indicate that multi-response characteristics such as density and micro hardness can be improved effectively through this approach. © 2013 University of Manchester and the authors.