This invention relates to preparation of nanocomposites comprised of elastomer and a dispersion of an at least partially exfoliated water swellable clay and to rubber compositions containing such nanocomposite and articles of manufacture which contain at least one component thereof. The nanocomposite is prepared by addition of a water suspension of water swellable clay particles to an anionic aqueous emulsion of elastomer particles to form a mixture to which an amine having at least two amine centers is added to intercalate and at least partially exfoliate the water swelled clay particles by an ion exchange within the galleries of the multilayered clay with cation exchangeable ion(s) and to aid in coagulating the elastomer and resultant clay particles to form said nanocomposite.