In this study, mechanical behavior of iron base (Fe-0.8C-2.0Cu-3.0Ni-XMo-YB [wt%] X = 1.2, 1.8; Y = 0.2, 1.0) metal matrix composite (MMC) was investigated for gear production by powder metallurgy (PM). MMC has produced by warm compaction method followed by free sintering in controlled Ar gas atmosphere. Green composite has produced under 650 MPa pressure at 160 degrees C. The green products have been sintered at temperature 1050, 1150 and 1250 degrees C for 90 minute. Effect of Mo and B additions were investigated on hardness, wear resistance, density and microstructure of the composite samples. The worn surfaces of the samples have been examined under scanning electron microscopy (SEM) and analyzed by energy dispersive spectroscopy (EDS) and X-ray diffraction method (XRD). The results have showed that hardness and wear resistance of the samples increases with increasing temperature and molybdenum and boron addition. The highest hardness and wear resistance have been obtained at the composite sample produced at 1250 degrees C sintering temperature and 1.8% Mo-B1.0% addition.