Nanocrystalline Fe-1.77at.%C and Fe-3.27at.%C alloys prepared by ball milling iron powders and graphite powders are annealed below 573K where the precipitation of Fe3C does not occur. Upon annealing, a significant grain coarsening is observed in Fe-1.77at.%C alloy, whereas the grain coarsening is inhibited in Fe-3.27at.%C alloy. Within the framework of thermodynamic theories, the inhibition of grain coarsening in nanocrystalline Fe-C alloys is discussed. It is demonstrated that the inhibition of grain coarsening in the nanocrystalline Fe-C alloys can be ascribed to a vanished driving force for grain growth which is caused by the interaction between carbon and the grain boundaries of nanograins.