High temperature mechanical properties and formability of the AZ61 magnesium alloy are evalu-ated in this paper. Tensile tests were conducted to obtain the formability parameters at elevated temperatures of up to 400℃. The results showed that at higher temperature, yield strength and ultimate tensile strength of the material decrease significantly, while the material experiences an increase in ductility (maximum elongation before break). A model has been created in finite ele-ment software Abaqus to further study the deep drawability of the AZ61 Mg alloy. Effects of dif-ferent process parameters such as punch and die geometry, forming speed and temperature as well as blank-holder force on square cup drawing of the AZ61 alloy were investigated and optimum process parameters are obtained which can be used as a design guide in sheet metal forming industry.