To stably obtain a composite material provided with strength higher than that of a refining material by impregnating the molten metal of an Al alloy into a compacted body of a rapidly solidified Al alloy contg. specified amounts of Fe, Mg and Cu.

A compacted body of rapidly solidified powder composed of at least one kind selected from the group of, by mass, ≥5% Fe, ≥2% Mg and ≥5% Cu, and the balance Al with inevitable impurities is impregnated with the molten metal of an Al alloy to form a rapidly solidified powder strengthened aluminum base composite material. As to the rapidly solidified powder, there is no need of limiting the shape of the powder grains, and typically, the ones having a linear or granular shape are preferably. This composite material has a structure in which the gaps of the compacted body of the alloy powder subjected to solid solution strengthening by allowing a large quantity of alloy components to enter into solid solution in an oversaturated degree by rapid solidification are filled with an aluminum alloy by impregnation. Namely, it is a structure in which the space between the grains of the rapidly solidified powder as a strengthening phase is fillted with the aluminum alloy as a bonding phase.