Burnishing, which is one of the most powerful processes for microstructural evolution, was performed by a cemented carbide ball (6 mm in diameter) that was loaded and fed on the flat surface of a rotating disk specimen of carbon steel using a lathe machine. The effects of burnishing process parameters such as force and rotation speed on the surface roughness, microstructure and hardness were investigated. In addition the dry sliding wear properties of the burnished surface layers were studied using a ball-on-disk friction method. It was found that the burnished surface was much smoother than as-turned surface (before burnishing) owing to the plastic flow of the surface asperities through the rubbing motion of the burnishing ball. Nanostructure in the 30 - 50 nm grain size range was formed in the burnished sub-surface layer, and the hardness significantly increased due to the grain refinement. The nano-crystalline microstructure was observed at high burnishing forces and speeds owing to the high strain and strain rate of the friction-induced plastic deformation. Moreover the burnishing process reduced the specific wear rates by a factor of six. Thus we concluded that the wear resistance of carbon steel can be significantly improved by burnishing due to the smooth surface and nanostructured sub-surface layers.