The mullite-zirconia composites were prepared by the pressureless sintering with addition of 10~20 vol% ZrO$_2$(TZ3Y) in the fused mullite and sol-gel mullite matrix. The densification rate of sol-gel mullite was higher than that of fused mullite, and the addition of ZrO$_2$(TZ3Y) was effective on the densification of fused mullite. The enhancement of densification and anisotropic growth of mullite in ZrO$_2$added specimen can be explained by the solid solution effect of $Zr^{+4}$ ion in mullite. Both mechanical strength and fracture toughness of mullite-zirconia composite were enhanced compared to those of mullite. The enhancement of mechanical properties is attributed to the hinderance of grain growth and the combined toughening effects of tetra-mono phase transformation and crack deflection due to the residual stress between mullite/ZrO$_2$.