Carbon fiber reinforced polymers (CFRPs) have found diverse applications in the automotive, space engineering, sporting goods, medical and military sectors. CFRP parts require limited machining such as detouring, milling and drilling to produce the shapes used, or for assembly purposes. Problems encountered while machining CFRP include poor tool performance, dust emission, poor part edge quality and delamination. The use of oil-based metalworking fluid could help improve the machining performance for this composite, but the resulting humidity would deteriorate the structural integrity of the parts. In this work the performance of an oil-in-water emulsion, obtained using ultrasonic atomization but no surfactant, is examined during the milling of CFRP in terms of fiber orientation and milling feed rate. The performance of wet milling is compared with that of a dry milling process. The tool displacement-fiber orientation angles (TFOA) tested are 0°, 30°, 45°, 60°, and 90°. The output responses analyzed were cutting force, delamination, and tool wear. Using atomized vegetable oil helps in significantly reducing the cutting force, tool wear, and fiber delamination as compared to the dry milling condition. The machining performance was also strongly influenced by fiber orientation. The interactions between the fiber orientation, the machining parameters and the tested vegetable oil-based fluid could help in selecting appropriate cutting parameters and thus improve the machined part quality and productivity.