A critical review on recent advancements in aluminium-based metal matrix composites (AMCs) highlights their significant properties, including low density, high strength-to-weight ratio, excellent corrosion resistance, and enhanced wear resistance. These materials are widely used in military, automotive, and aerospace industries. AMCs are manufactured using various techniques, with over three decades of research revealing insights into the effects of ceramic reinforcement on their mechanical, thermomechanical, tribological, and physical characteristics. Recent advancements have led to increased usage in high-tech structural and functional domains, including sports, automotive, aerospace, defense, and thermal management. Studies on particle-reinforced cast AMCs began in India in the 1970s, reached industrial maturity in developed nations, and are now penetrating mainstream materials. This review provides a comprehensive understanding of AMC material systems, covering processing, microstructure, characteristics, and applications, with the latest advancements in the field. AMCs are classified into four main types: particle-reinforced, whisker- or short-fiber-reinforced, continuous-fiber-reinforced, and monofilament-reinforced. Each type has distinct properties and manufacturing methods. Particle-reinforced AMCs are made using liquid or solid-state techniques, with particle volume fractions up to 70% in some applications. Whisker-reinforced composites have better mechanical properties but are less commonly used due to health risks. Continuous-fiber-reinforced AMCs, such as those with 60% alumina fiber, exhibit high tensile strength and elastic stiffness. Monofilament-reinforced AMCs are produced using diffusion bonding and are suitable for superplastic-forming aluminum alloys. Major manufacturing techniques include solid-state-based methods like powder metallurgy, diffusion bonding, and friction stir processing, as well as additive-based techniques such as selective laser melting and direct energy deposition. Powder metallurgy allows for high reinforcement content and uniform dispersion, while diffusion bonding is used to bond materials with minimal interfacial interactions. Friction stir processing refines microstructure and enhances mechanical properties. Selective laser melting and direct energy deposition enable the fabrication of complex geometries and reactive materials, though challenges like porosity and defects must be addressed. The review also discusses the environmental and economic benefits of AMCs, their potential in various industries, and the need for system redesign to achieve significant weight and volume savings. Overall, AMCs offer superior performance, durability, and customization, making them ideal for a wide range of applications.A critical review on recent advancements in aluminium-based metal matrix composites (AMCs) highlights their significant properties, including low density, high strength-to-weight ratio, excellent corrosion resistance, and enhanced wear resistance. These materials are widely used in military, automotive, and aerospace industries. AMCs are manufactured using various techniques, with over three decades of research revealing insights into the effects of ceramic reinforcement on their mechanical, thermomechanical, tribological, and physical characteristics. Recent advancements have led to increased usage in high-tech structural and functional domains, including sports, automotive, aerospace, defense, and thermal management. Studies on particle-reinforced cast AMCs began in India in the 1970s, reached industrial maturity in developed nations, and are now penetrating mainstream materials. This review provides a comprehensive understanding of AMC material systems, covering processing, microstructure, characteristics, and applications, with the latest advancements in the field. AMCs are classified into four main types: particle-reinforced, whisker- or short-fiber-reinforced, continuous-fiber-reinforced, and monofilament-reinforced. Each type has distinct properties and manufacturing methods. Particle-reinforced AMCs are made using liquid or solid-state techniques, with particle volume fractions up to 70% in some applications. Whisker-reinforced composites have better mechanical properties but are less commonly used due to health risks. Continuous-fiber-reinforced AMCs, such as those with 60% alumina fiber, exhibit high tensile strength and elastic stiffness. Monofilament-reinforced AMCs are produced using diffusion bonding and are suitable for superplastic-forming aluminum alloys. Major manufacturing techniques include solid-state-based methods like powder metallurgy, diffusion bonding, and friction stir processing, as well as additive-based techniques such as selective laser melting and direct energy deposition. Powder metallurgy allows for high reinforcement content and uniform dispersion, while diffusion bonding is used to bond materials with minimal interfacial interactions. Friction stir processing refines microstructure and enhances mechanical properties. Selective laser melting and direct energy deposition enable the fabrication of complex geometries and reactive materials, though challenges like porosity and defects must be addressed. The review also discusses the environmental and economic benefits of AMCs, their potential in various industries, and the need for system redesign to achieve significant weight and volume savings. Overall, AMCs offer superior performance, durability, and customization, making them ideal for a wide range of applications.