Magnesium alloy is the light weight material compared to aluminium alloy, and it possesses high strength; these alloys are used to manufacturing of vehicle parts. Magnesium alloy has extreme mechanical and thermal properties, and it is applied to aerospace applications. This study planned to improve the tribological and corrosion resistance of AZ61 magnesium alloy with reinforcement of boron carbide (B4C) and zirconium dioxide (ZrO2). Magnesium alloy hybrid composites are fabricated through stir casting process. Tribological and corrosion performance are analyzed through Taguchi L27 Orthogonal Array. In the tribological analysis, four parameters are involved such as % of reinforcement (4%, 8%, and 12%), disc speed (1 m/s, 2 m/s, and 3 m/s), normal load (30 N, 40 N, and 50 N), and sliding distance (1300 m, 1500 m, and 1700 m). Similarly, in salt spry corrosion analysis, four parameters are influenced used such as % of reinforcement (4%, 8%, and 12%), pH (7, 8, and 9), temperature (30°C, 35°C, and 40°C), and hanging time (30 hrs, 40 hrs, and 50 hrs). From this analysis, percentage of reinforcement is highly influenced in wear test, and in corrosion test, temperature is extremely influenced.