A new micromechanical theory is presented for the response of heterogeneous metal matrix composites subjected to thermal gradients. In contrast to existing micromechanical theories that utilize classical homogenization schemes in the course of calculating microscopic and macroscopic field quantities, in the present approach the actual microstructural details are explicitly coupled with the macrostructure of the composite. Examples are offered that illustrate limitations of the classical homogenization approach in predicting the response of thin-walled metal matrix composites with large-diameter fibers when subjected to thermal gradients. These examples include composites with a finite number of fibers in the thickness direction that may be uniformly or nonuniformly spaced, thus admitting so-called functionally gradient composites. The results illustrate that the classical approach of decoupling micromechanical and macromechanical analyses in the presence of a finite number of large-diameter fibers, finite dimensions of the composite, and temperature gradient may produce excessively conservative estimates for macroscopic field quantities, while both underestimating and overestimating the local fluctuations of the microscopic quantities in different regions of the composite. Also demonstrated is the usefulness of the present approach in generating favorable stress distributions in the presence of thermal gradients by appropriately tailoring the internal microstructure details of the composite. Aboudi, Jacob and Pindera, Marek-Jerzy and Arnold, Steven M. Glenn Research Center...