This paper considers the edge-connectivity and the restricted edge-connectivity of replacement product graphs, gives some bounds on edge-connectivity and restricted edge-connectivity of replacement product graphs and determines the exact values for some special graphs. In particular, the authors further confirm that under certain conditions, the replacement product of two Cayley graphs is also a Cayley graph, and give a necessary and sufficient condition for such Cayley graphs to have maximum restricted edge-connectivity. Based on these results, the authors construct a Cayley graph with degree d whose restricted edge-connectivity is equal to d + s for given odd integer d and integer s with d 5 and 1 s d − 3, which answers a problem proposed ten years ago.