The dilute magnetic semiconductor CdMnTe has been synthesized by ion implantation of Mn into CdTe. Samples of CdTe have been implanted with Mn ions of 60 keV energy to fluences in the range 1 × 1013 cm−2 to 2×1016 cm−2 and subsequently annealed, using rapid thermal annealing, for 10–15 sec at temperatures 300 ≤ TA ≤ 730°C. The successful formation of a near surface layer of CdMnTe is demonstrated by studies of the structural, electronic and magnetic properties of the ion implanted and annealed sampies; Rutherford backscattering-channeling analysis of the radiation-induced damage indicates complete recovery of lattice order after annealing at 700°C. Photoluminescence measurements, performed at 2K, reveal an increase in the energy band gap of the ion implanted alloy with respect to CdTe. Application of magnetic fields, up to 8T, produce both the characteristic energy shift of the excitonic recombination peak and polarization of the emitted radiation (in the Faraday configuration) previously observed in bulk–grown CdMnTe material.