<p>The demand for superior-performance, low-cost materials has prompted analysts worldwide to move their concentration from monolithic to composite materials for automobile and aerospace applications because they have superior wear resistance, corrosion resistance, specific modulus, and light weight. Metal matrix composites based on aluminium are considered the most favorable structural materials. Aluminium matrix composites (AMCs) have been produced by various manufacturing processes using reinforcing particles like carbide, nitride, oxides, borides, and their combinations. The current paper reviews the mechanical and wear properties and potential applications of composites with aluminium as a matrix material. The mechanisms for modifying these AMCs properties are also discussed. Stir casting, a liquid state processing method, is given special attention for the fabrication of AMCs, and is among the best techniques for producing AMCs due to its ease of use, proven process, lower production expense, and large-scale manufacturing capacity. This study examines all the key features of the stir-casting process, such as process parameters, composite qualities, difficulties in composite production, and recommendations to avoid challenges. Finally, the application and future research directions of AMCs are also discussed.</p>