In this study, the effects of Cu nanoparticle inclusion on the dynamic responses of single crystal Al during shockwave loading and subsequent spallation processes have been explored by molecular dynamics simulations. At specific impact velocities, the ideal single crystal Al will not produce dislocation and stacking fault structure during shock compression, while Cu inclusion in an Al–Cu nanocomposite will lead to the formation of a regular stacking fault structure. The significant difference of a shock-induced microstructure makes the spall strength of the Al–Cu nanocomposite lower than that of ideal single crystal Al at these specific impact velocities. The analysis of the damage evolution process shows that when piston velocity up ≤ 2.0 km/s, due to the dense defects and high potential energy at the interface between inclusions and matrix, voids will nucleate preferentially at the inclusion interface, and then grow along the interface at a rate of five times faster than other voids in the Al matrix. When up ≥ 2.5 km/s, the Al matrix will shock melt or unloading melt, and micro-spallation occurs; Cu inclusions have no effect on spallation strength, but when Cu inclusions and the Al matrix are not fully diffused, the voids tend to grow and coalescence along the inclusion interface to form a large void.