With different tilting angles corresponding to the basal planes of the extruded Mg-3%Al-1%Zn alloy (0°, 30°, 45°. 60°, 90°), uniaxial tensile tests of the extruded alloy were conducted at room temperature to discuss the effects of basal texture and grain size on its tensile properties and fracture characteristics. Compared to the coarse-grained sample, the fine-grained sample showed obvious increase in the yield stress since the tilting angles were 0° and 90°. However, the total elongation of the fine-grained sample was higher than that of the coarse-grained specimen since the tilting angles ranged from 30° to 60°. According to the observation of fracture surface, a dimple feature was observed in the fine-grained samples. In the contrast, a plate-like feature was recognized on the fracture surface of the sample with coarse grains.