Al coatings were deposited using a pure Al target directly onto pure iron substrates at different temperatures by double glow discharge technique. Then, the Fe–Al coatings were plasma oxidised at 580°C. The results indicated that the aluminide layer was nanocrystalline with many crystal defects after the aluminising process. The oxidation kinetics showed a two-stage behaviour. The energetic O ions with higher driving force diffused into the coatings at the beginning of the oxidation. Then, O ions diffused via short circuit diffusion caused by the existence of large amounts of grain boundaries and crystal defects. After oxidation, α-Al2O3, γ-Al2O3 and Fe2O3 phases were detected. Large amount of voids filled with oxide ions were formed at the outermost aluminide layer owing to the different intrinsic diffusivities of Fe and Al.