The microstructures and mechanical properties of Fe-0.4C-18Mn and Fe-0.6C-18Mn steels subjected to large strain cold rolling followed by annealing were studied. Cold rolling with a total reduction of 86% resulted in substantial strengthening at expense of plasticity. The yield strength and the ultimate tensile strength of above 1400 MPa and 1600 MPa, respectively, were achieved in both steels, whereas total elongation decreased below 30%. Subsequent annealing at temperatures above 600 °C was accompanied with the development of recrystallization leading to fine-grained microstructures with an average grain size of about 1 μm in both steels. The fine-grained steels exhibited remarkable improved mechanical properties with a product of ultimate tensile strength by total elongation in the range of 50 to 70 GPa %. The fine-grained steel with relatively high carbon content of 0.6%C was characterized by ultimate tensile strength well above 1400 MPa that was remarkably higher than that of about 1200 MPa in the steel with 0.4%C.