Abstract: A method for producing a carbonaceous powder which can be used as dielectric fine particles to be dispersed in an insulating oil to produce an electrorheological fluid is provided. The method comprises the steps of subjecting a starting organic material selected from the group consisting of coal, coal tar, coal tar pitch, liquefied coal, coke, petroleum, petroleum tar, petroleum pitch, and resins to a heat treatment at a maximum temperature of 300.degree. to 800.degree. C. to produce carbonaceous material; pulverizing and classifying the material to produce carbonaceous particles having a mean particle size of 0.5 to 40 .mu.m and a maximum particle size of up to 50 .mu.m; and subjecting the particles to an additional treatment at an elevated temperature and/or a reduced pressure, said additional treatment being carried out at a temperature lower than said maximum temperature of the heat treatment. The resulting carbonaceous powder may optionally be subjected to a further pulverization treatment.