Vapor grown carbon fibers (VGCF) were treated with atmospheric plasma enhancing the surface area in order to improve the bonding to the matrix in epoxy composites. The changes in the mechanical properties of VGCF/epoxy nanocompostes, such as tensile modulus and tensile strength were investigated in this study. VGCF with and without atmospheric plasma treatment for surface modification were used in this investigation. The interdependence of these properties on the VGCF contents and interfacial bonding between VGCF/epoxy matrix were discussed. The mechanical properties of atmospheric plasma treated (APT) VGCF/epoxy were compared with raw VGCF/epoxy. The tensile strength of APT VGCF/epoxy nanocomposites showed higher value than that of raw VGCF. The tensile strength was increased with atmospheric plasma treatment, due to better adhesion at VGCF/epoxy interface. The tensile modulus of raw VGCF and APT VGCF/epoxy matrix were of the similar value. The dispersion of the VGCF was investigated by scanning electron microscopy (SEM), SEM micrographs showed an excellent dispersion of VGCF in epoxy matrix by ultrasonic method.