The depth profiles of the structure, composition, and properties of the oxide layer that forms on the surface of Ti-Ni alloy products during postdeformation annealing (PDA) are studied. These parameters depend substantially on the holding temperature and time during PDA. The application of low-temperature thermomechanical treatment improves the state of surface as compared to quenching due to a decrease in the oxide-layer depth by more than an order of magnitude. The state of the surface of Ti-Ni alloy products significantly affects the characteristic martensite transformation temperatures and the shape memory effect parameters. This effect is more pronounced as the sample thickness (diameter) decreases. It is impossible to predict this effect on the entire set of the functional properties of the alloy products because of its ambiguity. Therefore, the oxide layer should be removed by etching to obtain reliable and reproducible results. © 2009 Pleiades Publishing, Ltd.