The graphite particles with average size of 15 μm were used as the anode base materials for lithium ion battery. Tin oxide was incorporated into graphite particles by a precipitation method. As SnO2 content increased from 0 to 80 wt%, the initial discharge capacities of SnO2/graphite composite electrodes raised from 357 to 688 mAh/g, approaching to their theoretical capacities. The composite electrodes exhibited plateau characteristics of SnO2 at 0.85 1 V range in the charge voltage-capacity curves of the first cycle. Increased reversible capacity of the composites suggested that lithium ion could be stored in the both lattices of tin and graphite. It was demonstrated by XRD that the tin metal decomposed from tin oxide in the first cycle of charge played a leading role of charge/discharge thereafter.