Sn-based materials are one promising high-capacity anode material for lithium-ion batteries. The practical application of Sn-based materials is generally restricted by their significant capacity fading due to the volume expansion and structural changes during Sn alloying/dealloying process. In this work, Sn-SnO 2 hybrid nanoclusters are embedded into carbon nanotube network, forming a Sn-SnO 2 @CNT composite. The Sn-SnO 2 nanoclusters are consisted of interconnected Sn and SnO 2 nanocrystals, in which SnO 2 forms a beneficial environment for the alloying/dealloying of Sn. The ultrafine particle size of SnO 2 (<10 nm) also allows a highly reversible conversion reaction, contributing to high overall capacities. The Sn-SnO 2 nanoclusters are uniformly dispersed in CNT matrix, therefore providing abundant active sites for Li-ion storage. The CNT matrix functions in improving electrical conductivity, preventing Sn aggregation, and accommodating Sn volume change in prolonged cycles. As a result, the hybrid Sn-SnO 2 @CNT electrode shows excellent rate capability (1059 mAh g −1 at 1 A g −1 and 960 mAh g −1 at 5 A g −1 , corresponding to 0.53 mAh cm −2 at 0.5 mA cm −2 and 0.48 mAh cm −2 at 2.5 mA cm −2 ) and outstanding cycling stability (86% capacity retention after 1000 cycles at 0.5 A g −1 ), making it an promising anode material for high-performance lithium-ion batteries.