The effects of microstructural features on torsional ductility of cold drawn and annealed hyper-eutectoid steel wires were investigated. The patented wire rods were successively dry drawn to ε = 0.79 (54.7%) ~ 2.38 (90.7%). To examine the effects of hot-dip galvanizing conditions on torsional ductility, steel wires with ε = 1.95 were annealed at 500 °C for 30 s for ~1 h in a salt bath. In cold drawn wires, the number of turns to failure increased steadily, showing the maximum peak, and then decreased with drawing strain. During the post-deformation annealing at 500 °C, torsional ductility of steel wires decreased with annealing time, except for the rapid drop due to the occurrence of delamination for 10 s annealing. The decrease of the number of turns to failure would be attributed to the microstructural evolutions, accompanying the spheroidization and growth of cementite particles and the recovery of ferrite in cold drawn steel wires. From the relationship between microstructural evolution and torsional ductility, it was found that among microstructural features, the shape and orientation of lamellar cementite showed the significant effect on torsional ductility of cold drawn and annealed hyper-eutectoid steel wires.