Effects of extrusion deformation and heat treatment on microstructures, mechanical properties and texture of AZ31 Mg alloy were investigated.The results show that the microstructures of as-cast AZ31 alloy are markedly refined after hot extruding, the average grain size is about 25 μm and strong fiber texture exists in the extruded AZ31 alloy. The mechanical properties are improved obviously. The grain size is somewhat inhomogeneous and strip structure emerges along the extrusion direction due to incomplete dynamic recrystallization during the extrusion process. With increasing annealing temperature, the small grain grows up and turns into equiaxed grain, and the texture is weakened with the visible growing up of grains.