Machining of Al-SiC metal matrix composite (MMC) is still being a challenging task in the automotive and aerospace sector due to its frequent tool wear while processing this MMC. The hard Polycrystalline diamond tools (PCD) are used as a cutting tool in many sectors for machining of MMC. But the usage of PCD is commercially not viable due to its high cost involved in the fabrication. In this regard, low-cost diamond-coated tungsten carbide (WC-Co) tools are considered as an alternative to PCD. However, the diffusion of cobalt from WC-Co during diamond deposition promotes higher graphitization at the diamond-carbide interface. This induces coating delamination during MMC machining. This outward diffusion of cobalt can be hindered by doping boron in the diamond lattice to enhance adhesion strength of the coating. Hence in this work, the boron doped graded layer diamond coating (BDD/transition layer/NCD) on WC-Co was proposed to improve the machining performance of MMC. In this work, four different CVD diamond coated WC-Co tools such as microcrystalline diamond coating (MCD), nano-crystalline diamond coating (NCD), boron-doped diamond coating (BDD) were considered for comparison along with the proposed tools. The different phases (sp3 and sp2) in the diamond coating were analyzed through cross-sectional Raman mapping technique. The Rockwell indentation test confirms that the better adhesion strength obtained in BMTN coated tools. The wear behavior of these diamond coated tools was tested by machining of AA2124/25%SiCp material. In addition, performances of these tools were compared with widely accepted industrial grade PCD tools. The temperature at the cutting zone, chip morphology and surface roughness of the machined component were studied through an appropriate test method. The occurrence of edge chipping while machining was continuously monitored through acoustic emission (AE) signals. The machining results show that BMTN coated tool exhibits least tool wear (VB = 0.25 mm) in comparison with MCD (VB=0.47 mm), NCD (VB=0.57 mm), BDD (VB= 0.33 mm) coated tools and PCD (VB = 0.29 mm) tools respectively. In addition, the results of AE signals show that MCD, NCD coated tools and PCD tools undergone edge chipping whereas there was no edge chipping observed in BDD and BMTN tools. Thus Nano –Engineered BMTN tools observed to be a preferred cutting tool for efficient machining of Al-SiC MMC material.