Processing TiCp/TC4 composites has always been difficult due to the mismatch between the mechanical and thermal properties of the matrix and the reinforced particles, which results in a variety of machined surface defects. To expose the mechanism of defect generated on the cutting surface of TiCp/TC4 composites and improve their cutting surface quality, a 3D finite element orthogonal turning simulation model of TiCp/TC4 composites is developed. The failure at the matrix-particle interface and the fracture and removal mechanism of the reinforcing phase particles are analyzed from a microscopic perspective using a single particle cutting simulation model. In addition, a three-dimensional cutting simulation model with randomly dispersed TiC particles and a volume fraction of 5% is developed, and various forms of cutting surface defects of TiCp/TC4 composites are examined. To verify the validity of the finite element simulation model, TiCp/TC4 composites with a volume fraction of 5% are selected for turning tests. For various cutting tools and particle relative positions, the simulation and test results show that the removal of particles takes the following forms: debonding, crushing, brittle fracture, and slight fracture at the top, leading to a shallow cavity, microcracks, residual TiC particles embedded in the cavity, and surface defects with severe plastic deformation of the matrix surrounding the cavity on the machined surface.