ZrO2 nanorods are prepared by annealing precursor powders produced in the novel inverse microemulsion system. The length and diameter of ZrO2 nanorods are a few micrometers and 40-100 nm, respectively. The microstructure of the resultant nanorods; are studied by XRD, TEM, selected area electron diffraction, and Raman spectroscopy. The ZrO2 nanorods are single crystalline and have monoclinic structure. The formation of ZrO2 nanorods is discussed.