Machining of ceramic materials has been a major challenge owing to high hardness and brittleness. The reinforcement of a conducting filler allows permissible machining in electrical discharge machining (EDM) process. The current effort analyses the impact of multi-walled carbon nanotubes (MWCNT) of concentrations of 2.5 and 5 vol. %, as conducting filler towards machinability of alumina composites in µ-EDM process. The influence of tool materials and its rotation are closely analyzed. A successful machining process is observed in both the two composites, with a higher material removal rate (MRR) in 5 vol. % MWCNTs. When the tool starts to rotate at 750 rpm, an increment of around 60–65% is observed in MRR for both the two composites. Similarly, the surface roughness (Ra) decreases by a factor of 20−25%. The brass tool is observed to yield better machining capabilities due to the frequent initiation of sparks. A highly porous machined surface is observed in both the two composites. This scenario depicts the spalling effect as more dominant than melting-evaporation effect. The extent of porous recast layer on the drilled edges is found to reduce with increasing the speed of tool rotation.