Effect of rare earth (RE) metals addition on the microstructure, formation of Fe–Zn intermetallics and corrosion resistance of the batch galvanising Zn–0·18Al coating were studied. Microstructure of the coating was observed using optical microscopy, scanning electron microscopy and transmission electron microscopy. Salt spray test and surface potential measurement were employed for corrosion resistance determination. The results show that the addition of RE can improve bath liquidity, refine surface spangles, stabilise the Fe2Al5 inhibition layer, decrease coating thickness and enhance corrosion resistance of the coating. However, corrosion resistance of the coating did not increase continuously with increasing RE content and the optimum RE content lies between 0·045 and 0·069% in the experiment. Mechanism of RE on the corrosion resistance of the galvanised coating was briefly analysed.