A free machining aluminum alloy contains an effective amount of one or more high melting point constituents that provide enhanced machining capability. The high melting point constituents occupy from about 0.1 to about 3.0 volume percent of the aluminum alloy. The constituents can be any material that is essentially insoluble in the aluminum alloy matrix so as to form a discontinuity and one that will resist deformation during machining to enhance the formation of voids between the matrix and the free machining constituents. The constituents include elements, nitrides, oxides, borides, carbides, silicides, aluminides and combinations thereof that have a high melting point and high strength and low solubility in aluminum at the elevated temperature so that the constituents resist deformation during the machining operation. The free machining aluminum alloy can be formed as a workpiece and subjected to any machining operation.