Addition of yttria to steels has been proposed for the fabrication of oxide-dispersion-strengthened materials for nuclear power applications. We have investigated materials prepared from 12 Cr martensitic stainless steel, AISI 410L, produced by powder metallurgy. Materials were produced with and without yttria addition, and two different sizes of yttria were used, 0.9 lm and 50 nm. Tensile and mini-creep tests were performed to determine mechanical properties. Optical microscopy, SEM, TEM, and EDX analysis were used to investigate the microstructures and deformation mechanisms and to obtain information about nonmetallic inclusion particles. SiO 2 , MnS, and Y 2 Si 2 O 7 inclusion particles were observed. An SiO 2 and Y 2 O 3 interaction was seen to have occurred during the ball milling, which impaired the final mechanical properties. Small-angle neutron scattering experiments showed that the matrix chemistry prevented effective dissolution of the yttria.