The mechanism of recrystallization as a result of annealing during 600–7200 seconds at 700 °C of a Si-Al, low C electrical steel strip is investigated in samples deformed in tension. The evolution of grain size during annealing is evaluated by optical microscopy and electron backscatter diffraction in the scanning electron microscope. It is found that grain growth starts after an incubation time of 600 s with no apparent evidence of primary recrystallization. After that, the grain size-time relationship exhibits two different stages. Initially, the grain size increases linearly with time up to about 3600 s. During this time, some selected grains grow until they consume the deformed microstructure. In the second stage, the rate of growth decreases significantly and a final grain size of about 150 m is reached after 7200 seconds of annealing. Grain orientation spread maps obtained from EBSD data of deformed and partially recrystallized samples during the stage of linear growth reveals that the growing grains exhibit lower misorientation and therefore smaller stored energy than the non-recrystallized matrix grains. Analysis of image quality maps reveal that the IQ values for {100}<uvw>orientations are higher than those observed for {111}<uvw>orientations thus suggesting that the {100}<uvw>orientations grow at the expense of {111}<uvw>orientations by a mechanism of strain-induced boundary migration.