The effects of Mg and Ca on sulfide modification of sulphur steel were studied to elucidate the difference between micromagnesium treatment and micro-calcium treatment for the inclusion of sulphur steel. The results show that the inclusions in the steel appeared with an oxide core of Al2O3 and MnS wrapped. After the addition of Mg, the core was changed to spinel, and the MnS coating was changed to Mn-Mg-S. After Ca was added, the core was changed to Ca-Al-O, and the MnS coating was changed to Mn-Ca-S. The Mg content was higher than Ca content in the sulfides of the steel. Therefore, Mg was more effective than Ca in terms of sulfide modification with the same content of Mg and Ca in steel, but the yielding rate of Mg was lower than that of Ca. The Mg content in the oxide core was higher than Mg of the coating of the inclusions in the steel treated with Mg or Mg-Ca. In contrast, the Ca content in the oxide core was lower than Ca of the coating of the inclusions in the steel treated with Ca or Mg-Ca. MnS formed and precipitated during the melt solidification process. The complex sulfide (Mg-Mn-S) was precipitated around MgO·Al2O3 in the Mg treated steel during the cooling process. CaS inclusion was precipitated on the CaO·Al2O3 inclusions in the liquid Ca-treated steel. Thus, CaS was formed first, whereas MnS was formed during the cooling process, followed by the formation of complex sulfide (CaS+MnS), which finally precipitated around CaO·Al2O3 in the Ca-treated steel.