Mechanical activation and liquid phase sintering were used to manufacture high performance Mo-Cu alloy and develop new processes. The microstructures and properties of the alloy were investigated. The experimental results showed that: (1) the ball milled Mo/Cu powder has lamellar structure, (2) the microstructures of the sintered Mo-Cu alloy were homogenous compound structures of adhesive phase Cu linking Mo grains, (3) Mo grains frequently strung or ga thered in Cu phase, and (4) the full densities of Mo-Cu alloy was achieved through sintering and special densification process. As a result, the properties of the alloy are good enough to satisfy various requirements.