SUMMARYIn electric discharge machining (EDM), the heat gradients caused by the electric discharge create a nonuniform local thermal expansion on the level of the surface layers of machined materials from where genesis of thermal stresses takes place. These thermal stresses, if exceeding yield stress, can remain and become residual after the cooling of the part. The modelling of these phenomena, during the heating by the electric discharge and the cooling by the dielectric liquid, requires a heat transfer model, the material behaviour identification, a thermo-mechanical model for the thermal and the residual stress models. This paper presents numerical results concerning the temperature distribution, the thermal and residual stresses of a stable steel material (AISI316L) machined by EDM. Comparison of numerical results with experimental data and numerical results from the literature shows good agreement and is hence quite satisfactory.