Finite Element Method (FEM) using ANSYS software was employed to evaluate the residual stress distribution in direct joining of sialon and AISI 430 ferritic stainless steel. The elastic-plastic model and four nodes quadratic element PLANE 42 with axisymmetric option were adopted in the analysis. Results showed that sialon experience compressive stresses in radial direction but tensile in axial direction. On the other hand, stresses in AISI 430 ferritic stainless steel are tensile in radial direction but compressive in axial direction. The highest tensile axial stress appeared at the radial free surface of sialon, very near to the joint interface. It is observed that shear stresses concentrated near and on the joint interface. © 2011 Asian Network for Scientific Information.