A fundamental study on warm incremental forming of a magnesium alloy sheet has been carried out. In order to enhance the incremental formability of the magnesium alloy sheet, a local heating device was newly designed and manufactured. Through the incremental forming tests of AZ31 under various forming conditions, the effects of process parameters such as the temperature, feeding depth per cycle, and inclination angle on the incremental formability of AZ31 were investigated. In addition, conventional FLDs at elevated temperatures were constructed experimentally and applied to predict the forming failure.