Aluminium matrix composite with the reinforcements of Al<sub>2</sub>O<sub>3</sub> and SiC were fabricated by using stir casting together with the application of squeeze casting. The percentage of the volume fractions of both the reinforcement varied between 2&#37; to 4&#37; and the combinations were made for the experiments. It is a novelty because less work is required for the combination of the above reinforcements and their effect on the properties. The presence and uniform distribution of Al<sub>2</sub>O<sub>3</sub> and SiC are confirmed by microstructural analysis. Hardness as well as tests were carried out as per ASTM standards for the Charpy test and hardness test by Brinell hardness tester. ANOVA analysis found the effect of the two reinforcement agents. The effect of the varied reinforcement combinations was analyzed and the optimum value of hardness and impact strength is predicted by the use of Taguchi technique. Impact strength and hardness show an increasing trend up to level 3 having impact strength &#61; 17.1 kJ/m<sup>2</sup>, and a hardness of 79.2 BHN.