Grain size is a microscopic parameter that has a significant impact on the macroscopic deformation behavior and mechanical properties of twinning induced plasticity (TWIP) steels. In this study, Fe-18Mn-1.3Al-0.6C steel specimens with different grain sizes were first obtained by combining cold rolling and annealing processes. Then the influence of grain size on the plastic deformation mechanisms was investigated by mechanical testing, X-ray diffraction-based line profile analysis, and electron backscatter diffraction. The experimental results showed that the larger grain size could effectively promote twinning during plastic straining, produce an obvious TWIP effect, and suppress the rate of dislocation proliferation. The continuous contribution of dislocation strengthening and twinning functions led to a long plateau in the work-hardening rate curve, and increased the work-hardening index and work-hardening ability. At the same time, the strain could be uniformly distributed at the grain boundaries and twin boundaries inside the grain, which effectively relieved the stress concentration at the grain boundaries and improved the plasticity of deformed samples.