Aluminium's use in aerospace, marine and automobiles has grown significantly due to its lightweight nature, enhancing fuel efficiency and overall performance. Its corrosion resistance also contributes to longevity, reducing maintenance costs. However, its low hardness, low tensile strength and poor tribological behaviour limit its usage. These demerits can be overcomed by adding specific reinforcement to enrich its properties. As there are two types of fabrication methods for fabrication of MMCs such as Solid state processing and liquid state processing, the above fabrication techniques result in varying mechanical property, tribological property and production cost. So far from the available literature we’ve found that the liquid state processing is more popular than solid-state processing due to the better dispersion of the reinforcement particles in the matrix materials. The Addition of nanoparticles has been found to be essential to provide requisite strength and hardness to these composites. Overall, study concludes that the hybrid aluminium matrix composites will ensure to serve as an alternative for the unreinforced Al-alloys and ceramic reinforced composites in various automotive applications requiring high strength-to-weight ratio, low cost and superior wear resistance.