Carbon nanotubes (CNT) have received huge attention from the scientific community in the last two decades due to their unique structure and properties. They have been considered for potential applications in various areas of science and technology. One of the major applications of CNT is as reinforcement for fabrication of light weight high strength composite materials for use in automobile and aerospace applications. Aluminium and its alloys are natural choices for such applications due to their low density, high specific strength and modulus. In the last decade, there have been significant advances in the processing of carbon nanotube reinforced aluminium matrix (AlCNT) composites. New understanding has emerged due to research on several aspects such as damage to CNTs during processing, interfacial phenomena, novel methods of processing for improving CNT dispersion, tensile behaviour, numerical modelling and in situ tensile testing. This review summarizes the present status of the tensile properties of pure AlCNT and Al alloyCNT composites. The various processing routes for fabrication of AlCNT composites have been compared in terms of the resulting microstructure, degree of CNT dispersion, extent of interfacial reaction and its effect on the tensile properties. Factors affecting strengthening efficiency and the strengthening mechanisms in AlCNT composites are discussed.