To further understand the localized corrosion of magnesium alloy, various in situ electrochemical techniques and ex situ electron microprobe analysis and SEM were used to monitor the corrosion process of Mg-1.0Ca alloy in 0.9 wt% sodium chloride solution. The results indicated that the localized corrosion was accompanied by the formation and thickening of a corrosion product film on the Mg-1.0Ca alloy. A localized corrosion of the alloy initiated selectively on the eutectic micro-constituent zones, then enhanced with the exposure, developed in depth with ring-shaped corrosion products accumulated around and finally formed a volcanic-like pitting. Based on the measurements, an electrochemical corrosion model was proposed accordingly to describe the formation mechanism of the volcanic-like pitting on the alloy in 0.9 wt% sodium chloride solution.