Mg2Sn prepared by mechanochemical process was examined as an alternative anode material for Li-ion batteries. Electrochemical tests demonstrated that the initial charge and discharge capacity of Mg2Sn was 556 and 460 mAh/g, respectively. Ex-situ XRD and differential capacity plots showed that lithium inserted into the Mg2Sn lattice first followed by alloying with Sn. Contrary to the isostructural Mg-based intermetallic compound, Mg2Si, alloying reaction between Li and Mg was not observed during lithiation of Mg2Sn. Mg2Sn showed better capacity retention characteristic than that of Mg2Si. It is thought that this may be attributed to that Mg formed at Mg2Sn electrode did not react with lithium, and also active materials of Mg2Sn electrode changed from Mg2Sn to Sri with the increase of cycles. Also Mg2Sn showed improved cycle performance under restricted voltage range due to prevention Sn from aggregation into larger clusters.