The transport properties of p-type Pb1-xEuxTe epitaxial layers were studied as a function of Eu content, temperature, and magnetic field. The low-temperature hole mobility is drastically reduced when the Eu concentration is increased from 0 to 6%, while the hole concentration remains almost constant. A metal-insulator transition was observed for x ≈ 0.04, which is probably induced by the disorder caused by the introduction of Eu. For temperatures down to 10 K, only positive magnetoresistance has been observed at low magnetic fields. An anomalous behavior of the resistivity as a function of temperature has been detected for a Eu content about 5%, which is attributed to the resonance between the localized Eu 4f level and the valence band maximum. © 2003 Plenum Publishing Corporation.