Diffusion bonding was carried out between commercially pure titanium and 304 stainless steel using nickel as interlayer in the temperature range of 800-900°C for 5.4 ks under 3 MPa load in vacuum. The transition joints thus formed were characterized in optical and scanning electron microscopes. TiNi₃, TiNi and Ti₂Ni are formed at the Ni-Ti interface whereas, 304 ss-Ni diffusion zone is free from intermetallic compounds at 800 and 850°C processing temperatures. At 900°C, Ni-Ti interface exhibits the presence of α-β Ti discrete islands in the matrix of Ti₂Ni and the phase mixture of α-Fe+λ+χ occurs at the ss-Ni interface. Nickel is able to inhibit the diffusion of Ti to 304 ss side up to 850°C; however, becomes unable to restrict the migration of Ti to stainless steel at 900°C. Highest bond strength of 80% of that of titanium has been obtained for the diffusion couple processed at 850°C owing to the better coalescence of the mating surfaces and failure takes place from Ni-Ti interface. At higher joining temperature, the formation of Fe-Ti intermetallics reduces the bond strength and failure in tensile loading occurs from ss-Ni interface.