Aerospace industry stimulates research for new materials to reduce the weight of it thereby reduction of fuel consumption. Aluminium-Lithium alloys have become a good alternative due to its inherent properties. Nevertheless, joining of these materials by traditional welding is difficult. Friction stir welding process considered as an ideal joining process for these materials due to low heat input. This paper reviews the fabrication of the latest generation of Al-Li alloy by friction stir welding. In addition, it also presents and discusses the effect of process parameters on microstructure, mechanical properties and precipitate distribution in friction stir welded joint of Al-Li alloy.