CrN and CrAlN coating tools were heated and heat-preserved in electric stove to make oxidation experiment. The results were obtained through SEM, EDX and XRD. The results are as follows: The oxidation of CrN and CrAlN coating is induced by the micro-holes which were formed by the diffusion of nitrogen atoms and chromium ions towards the coating surface under sufficient thermal energy. With the incorporation of Al, CrAlN coating showed stronger oxidation resistance as compared to CrN. The dense mixture of Cr2O3 and Al2O3 makes oxygen diffusion through the film difficult and then oxidation and decomposing are alleviated effectively, therefore CrAlN coating can remain high oxidation resistance and high hardness after high temperature which make this coating tool be competent for high speed machining of the hardworking materials. In addition, the failure of the coating is primary induced by oxidation and the different expansion coefficients between coating and substrate.