The important character of non-magnetic high manganese ZG25 Mn18Cr4 alloy is rapid work-hardening under external stress. With X-ray diffraction and TEM analysis, it is proved that the microstructures of both undeformed and deformed matrixes are austenite and carbide with some striation structure in the matrixes, the amount of stripes in the deformed matrix is obviously more than that in the undeformed matrix. Electronic diffraction analysis confirmed that the stripes in coarse austenite grains are high density lamination fault sheets. A great deal of lamination fault sheets produced by plastic deformation divides up austenite matrix, shortens the free distance of dislocation movement and results in the rapid work-hardening of ZG25Mn18Cr4 alloy.