The finite element method based on the shear deformable theory is developed to analyze the composite panel flutter in supersonic flow. The computational results of the vibration and flutter analysis agree well with those given in the available references. Guyan reduction and the normal mode method are used to reduce the computational time. The plate length ratio, the flow direction and the fiber orientation greatly affect the flutter boundaries of trapezoidal laminated plates. Flutter boundaries have been calculated for both simply supported and clamped boundaries in order to determine the effect of boundary conditions.