Abstract Polyaniline/Clay nanocomposites are in the forefront of academic and industrial research in recent times. Polyaniline (PANI) is an extensively studied conducting polymer because of its economic viability, easy processability, good stability and controllable electrical conductivity which makes it suitable candidate for various applications. Among the large number of layered solids, montmorillonite clay (MMT) is the most suitable candidate for the synthesis of polymer nanocomposites, because it possesses a unique structure and reactivity together with high strength, stiffness and high aspect ratio of each platelet. MMT is also known for good swelling and ion exchange properties, low cost and attractive features such as a large surface area and ion–exchange properties. Here, in this work, synthesis and characterization of PANI/MMT nanocomposites has been reported. PANI/MMT nanocomposites were synthesized by emulsion polymerization method. Dodecylsulphuric acid (DSA) served the dual purpose of dopant and emulsifier. Analysis of X-ray diffraction results demonstrated the intercalation of PANI-DSA between the clay layers at the nanoscale level. The interaction between the intercalated PANI-DSA and clay layers was observed from FTIR spectra. The dc conductivity was observed in the range 0.033-3.214 Scm-1 at room temperature which found to be dependent on the loading of clay and dopant concentration. The morphology of the composite was investigated by scanning electron microscope and the morphology changed with the variation of MMT loading.