Thermotropic liquid crystal polymer (TLCP)-reinforced poly(butylene terephthalate) (PBT) composites were prepared by melt processing. The improvement in the mechanical properties and the processability of the PBT/TLCP composites was attributed to the reinforcing effect by TLCP phase and its well distribution in the PBT matrix. X-ray diffraction results demonstrated that a slow cooling process leads to the thicker lamellar structures and the formation of more regular crystallites in the composites. The incorporation of TLCP improves not only the tensile strength and flexural modulus but also the heat distortion temperature (HDT) of the PBT/TLCP composites. The HDT values of the composites were dependent on TLCP content. The improvement in the HDT values of the PBT/TLCP composites may be explained in terms with the increased flexural modulus, the development of more regular crystalline structures, and the enhancement of the ability of the composites to sustain the storage modulus by TLCP phase. In addition, the simple additivity rule makes it possible to predict the HDT values of the PBT/TLCP composites.