ABSTRACTTransformation of austenite to ferrite under continuous cooling condition was investigated. The heat conduction problem was managed by finite element method while two-dimensional cellular automata modeling was simultaneously performed to predict the progress of austenite decomposition using a two-step algorithm to reduce surface-to-volume ratio. Continuous cooling experiments on low carbon steel were made and the ferrite structure was determined and compared with the simulation data. The predicted and the experimental results demonstrated an acceptable consistency and the activation energy for ferrite growth was determined as 171 kJ/mole. The rate of ferrite transformation increased under examined continuous cooling conditions owing to higher nucleation rate. Moreover, the initial austenite grain size has shown a significant impact on the rate of transformation e.g. in air-cooled samples as the austenite grain size decreased from 24 to 34 µm, the mean ferrite grain size decreased about 8 µm.