The powder metallurgy allows titanium alloy production with savings of energy and time with higher microstructural homogeneity than those obtained by conventional processes. The processing of titanium alloys is increasing in industry, since these alloys presenting superior mechanical properties than commercially pure titanium. Ti-Zr alloys with zirconium contents ranging from 10 to 40 wt% have been investigated by melting process along the last years. In these alloys were reported characteristics as excellent corrosion resistance and high biocompatibility. In this work Ti-40Zr was produced by powder metallurgy in order to produce parts with complex geometry with high microstructural homogeneity to be applied in areas such as the space industry and surgical implants. Samples were produced by mixing of initial hydrided powders followed by uniaxial and cold isostatic pressing with subsequent densification by sintering between 800-1600 °C, in vacuum. Sintered samples were characterized for phase composition, microstructure and microhardness by X-ray diffraction, scanning electron microscopy and Vickers indentation, respectively. Density was measured by Archimedes method. It was shown that the samples sintered to high temperatures presented high densification and homogeneous microstructure with the obtainment of a fully biphasic (α+β) microstructure from the complete dissolution of zirconium particles in the titanium matrix.