In this study, non-lead machinable austenitic stainless steel was investigated through performing the machinability tests using a CA6164 lathe. The metallurgical properties, machinability and mechanical properties of the developed alloy were compared with those of the conventional austenitic stainless steel 1Cr18Ni9Ti. The results have shown that the inclusions were composed of MnS, Bi, CuO and Ti4C2S2 in the developed non-lead machinable austenitic stainless steel. Bismuth is an important factor to improve the machinability of austenitic stainless steel, and it has a distinct advantage over lead. The presence of alloying additives contributes to the improvement of the machinability of the developed austenitic stainless steel. The mechanical properties of non-lead machinable austenitic stainless steel exhibit a good combination of tensile strength and total elongation, despite the inclusion had a minor detrimental effect on them.