To improve the surface properties of AZ80 magnesium alloy, the laser cladding of the preplaced Al63Cu27Zn10 (atomis fraction, %) powder on magnesium alloy is carried out under low-temperature water cooling condition. The microstructure and properties of the coating are characterized by X-ray diffraction (XRD), scanning electron microscope (SEM) equipped with energy dispersive spectrometer (EDS), microhardness tester, abrasion tester and electrochemical workstation. The results show that the cladding layers are well bonded with the substrate and are composed of α-Mg, binary phases Al17Mg12, AlMg, Al3Mg2, ternary phases Mg32Al47Cu7, AlMg2Zn, MgAl2O4 and amorphous phase. The microhardness of the cladding layer ranges from 375 to 683 HV，which is 4~7 times higher than that of the AZ80 substrate (92 HV). The relative wear resistance of the cladding layer is 3.2 times than that of the substrate. The corrosion potential (Ecorr) is increased with 389.5 mV and the corrosion current is decreased by two orders of magnitude. After the laser cladding Al63Cu27Zn10 (atomic fraction, %) layer, both wear resistance and corrosion resistance of the AZ80 substrate are greatly improved.