In this work, we find that Al cladding on Nb microstrip resonators is an efficient way to suppress nonlinear responses induced by local Joule heating, resulting in improved microwave power handling capability. This improvement is likely due to the proximity effect between the Al and the Nb layers. The proximity effect is found to be controllable by tuning the thickness of the Al layer. We show that improving the film quality is also helpful as it enhances the microwave critical current density, but it cannot eliminate the local heating.