By using commercial zirconia powder CeO2-ZrO2 ceramics containing 8~16mol% CeO2 was made by heat treatment at 1350~155$0^{circ}C$ for 1~10hr. The minimum amount of CeO2 for obtaining complete tetragonal phase was 12mol%, and in the tetragonal phase region fracture toughness of Ce-TZP was decreased with increasing CeO2 content and the maximum value was obtained when 12mol% CeO2 was added. The bending strength goes through maximum at 14mol% CeO2. Fracture mode of Ce-TZP transformed from intergranular to transgranular fracture with increasing CeO2 content, so the morphology of fracture surface of 16mol% Ce-TZP was wholly transgranular and this tendency was independent on grain size. The crystal structure of the 12mol% Ce-TZP was monoclinic with fringes along the grain boundaries which are lying in the particular plane from the TEM observation. The chemical composition of the sintered body was homogeneous as a whole and some amorphism or air pocket was observed at the triple junction.