The objective of this paper was to determine the optimum process parameters of an electric discharge machine while machining a new hybrid aluminum metal matrix composite. In this study, a new hybrid aluminum metal matrix composite was prepared, with silicon carbide and graphite particles used as reinforcements, with the help of the stir casting method. The selected electric discharge machining parameters in this study were peak current (I), voltage (V), pulse-on time (Ton), and tool material, while the response parameters were material removal rate and surface roughness. To machine the fabricated samples, two different types of tool materials (copper and brass) were used as electric discharge machine electrodes, and each had a diameter (Ø) of 12.0 mm. The optimal settings of the electric discharge machining parameters were determined through experiments planned, conducted, and analyzed using the Taguchi (L18) technique. An analysis of variance and confirmatory tests were used to check the contribution of each machining parameter. It was found that the material removal rate increased with the increase in pulse-on time and pulse current, whereas the material removal rate decreased with the increase in voltage. On the other hand, reduced surface roughness could only be achieved when current, voltage, and pulse duration were low. It was also found that the selected electric discharge machining electrodes had a significant effect on both the material removal rate and the surface roughness.