PAN-based carbon fibers were coated with aluminum precursor by sol-gel method using aluminum alkoxide solution. Alumina precursor converted to alumina ceramics by heating at 700˚C. SEM and EPMA showed that alumina precursor was uniformly coated on the carbon fibers. The thickness of alumina layer increased with increasing the coating times. The crack and uneven surface were observed on alumina layer when the alkoxide solution concentration is more than 0.2mol/dm 3 . XRD revealed that the formation of Al4C3 was observed on the carbon fiber surface. Tensile strength of carbon fibers coated by alumina precursor was higher than that of original carbon fibers. Aluminum matrix carbon fiber composite was produced by cast forging process. The mechanical properties of composite were investigated. The tensile strength of composite was improved about three times using aluminum precursor coated carbon fiber compared with original carbon fiber.