In the present article, the effect of Rare Earth elements on the microstructural development of as cast and semisolid Mg–4Al alloy produced by SIMA process is studied. Investigation conducted by metallographic observation, scanning electron microscope and quantitative metallographic methods. Results showed that alloy's dendrites turn into larger fully dendritic shape with sharp and narrow arms from equiaxed rosette type as the amount of RE elements increased from 0 through 4%. The effect of RE elements on the microstructure of the treated-alloys was detectable through elimination of vast number of intragranular liquid droplets as well as by decreasing kinetic of microstructural changes. It was shown that the trend of grain coarsening decreased drastically by addition of RE elements to the Mg–4Al alloy during partial remelting at 610 °C. Moreover, the effect of REs on the other parameters such as fraction of liquid, shape factor and particle size was studied.