The nucleation and grain growth that occur during solidification have been extensively examined, but insight into the influence of an external field on the formation of heterogeneous crystal nuclei above the liquidus remains unclear in the peritectic refinement mechanism. In this work, we studied the effect of cooling rate above the liquidus on the formation of primary Al3Zr and grain refinement in Al-0.2%Zr alloys with inter-cooling annular electromagnetic stirring (IC-AEMS). The results show that the size and distribution of primary Al3Zr are greatly improved, and the morphology transformed from large plate/blocky shapes without IC-AEMS to small blocks with IC-AEMS. Meanwhile, above the liquidus, the addition of an Al-Zr master alloy to pure Al alone did little to enhance the refinement, but after IC-AEMS, the grains were refined dramatically. The refinement result seems to be explained by two hypotheses of pre-nucleation and explosive nucleation.