Since 1990s, carbon nanotube reinforced metal matrix composites have been received great attention, but have not yet been transferred into commercial applications. Up to now, powder metallurgy has become the main process for preparing this kind of metal matrix composite. By ball milling, extrusion, rolling or sever plastic deformation process, etc., combing with coating on the surface of carbon nanotubes or in-situ carbon nanotubes, the dispersion of carbon nanotubes in the matrix and the interfacial bonding may be improved remarkably. At present, the high-performance metal matrix composites including 0.5% –7.5% volume fraction carbon nanotubes can be prepared. In this paper, the advances in the preparing process, microstructure and properties for carbon nanotube reinforced metal matrix composites are summarized, the potential applications, challenges and future directions are discussed.