In order to understand the influence of the crystallographic texture and the dislocation structure on the deformation mechanism in low carbon steels, the development of the texture and the microstructure in cross-rolled specimens was investigated by employing X-ray texture measurements and TEM observations. The cross-rolled specimens were obtained by rotating the rolling direction by various angles up to 90° after 30% initial straight-rolling of the hot rolled band. Whereas only few shear bands were found in the straight-rolled specimen even after heavy deformation, in the cross-rolled specimen shear bands were often found at reductions in excess of 60%. This observation is discussed in terms of the rotation of the arrangement of dislocations and microbands during cross-rolling. The rolling textures observed in the various samples were interpreted by means of Taylor type deformation models.