A method based on the combination of electrophoretic and galvanic deposition techniques has been developed to fabricate metal-ceramic composite coatings on metallic substrates. A ZrO2-Ni composite coating with interpenetrating microstructure was produced on stainless steel plates. For electrophoretic deposition of the ceramic component, a non-aqueous suspension consisting of zirconia nanoparticles, ethanol and addition of 4-hydroxybenzoic acid was optimised by electrokinetic sonic amplitude (ESA) measurements. The zirconia deposits were partially sintered to create an open porous structure (porosity = 40-50%), which was subsequently filled with Ni by galvanic deposition. The bonding strength between the composite coating and the stainless steel substrate was improved by a final heat-treatement at 950degreesC for 3 h which promoted the diffusion of Ni into the steel substrate and the formation of a diffusion interlayer. The high adhesion strength of the composite coating to the stainless steel substrate after the diffusion bonding heat-treatment was confirmed by 3-point flexural strength tests. The coating exhibited a homogeneous interpenetrating microstructure with hardness values >6 GPa. (C) 2004 Kluwer Academic Publishers.