Microstructural response of AISI 316L stainless steel to laser peening (LP) was examined by means of optical microscopy (OM) and transmission electron microscopy (TEM) in order to analyze the effects of LP on hydrogen-induced cracking (HIC) resistance. Depth profiles of near-surface microhardness and surface compressive residual stress (CRS) of LP treated specimens were presented respectively. Slow strain rate tensile tests were performed on the hydrogen-charged samples and their corresponding stress-strain curves as well as fracture morphologies were finally investigated in detail. The results demonstrated that LP induced a grain refinement effect on the treated surface while a maximum refining rate of 56.18% was achieved at the laser power density of 10 GW/cm(2). The near-surface micro hardness also exhibited an attenuation trend with the increasing depth. The surface CRS positively correlated with power density before it reached a threshold value. A special U-shaped dislocation tangle band was observed in the LP treated specimen which served as hydrogen trapping sites. The LP treated samples exhibited better toughness after hydrogen charging from both macro mechanical properties and micro fracture morphologies. LP induced grain refinement and CRS are believed to be the main contributing factors towards inhibiting the diffusion of hydrogen atoms which ultimately leads to the reduction of the hydrogen embrittlement sensitivity of AISI 316L stainless steel. (C) 2018 Hydrogen Energy Publications LLC. Published by Elsevier Ltd. All rights reserved.