A type of ultra-low carbon reduced activation ferritic/martensitic (RAFM) steel was designed. Microstructure and mechanical properties of the steel after thermal refining were observed and investigated by means of scanning electron microscope (SEM), transmission electron microscope (TEM) and tensile test, and the relationship of process, microstructure and property was also investigated. The results show that the best mechanical properties are obtained by tempering at 750 for 1 h after quenching from heating at 980 for 1 h. At room temperature, the yield strength and tensile strength of the tested steel are 541 MPa and 668 MPa, respectively, and elongation is 25%. Meanwhile, yield strength at 600 is 294 MPa, and tensile strength is 321 MPa with elongation of 29%. The microstructure of the tested steel after thermal refining is tempered sorbite composed of ferrite and spherical precipitations. The precipitations are composed of M23C6 and TaC.