Stress distribution in Carbon Nanotube (CNT) reinforced composites is studied using nonlocal theory of elasticity. Two nearby CNTs are modeled as two circular inclusions embedded in an infinite elastic medium, and classical stresses are obtained using the complex stress potential method. Nonlocal stresses are calculated using nonlocal integral elasticity equation. Effects of the distance between CNTs as well as effects of the nonlocal parameters on the stress distribution and stress concentration are studied. For unit normal stress at infinity, stress at the interface of the CNT and matrix increases from 0.1 for classical analysis to 0.85 for nonlocal analysis. Furthermore, when two CNTs approach to each other radial and hoop stresses across the interface increases. It is interesting that, results of the nonlocal and classical elasticity for the hoop stress are different completely.