In order to analyze the competitive relationship of different deformation mechanisms in wrought AZ31 magnesium alloy, the dynamic compressive experiments were conducted by a Split Hopkinson Pressure Bar (SHPB) apparatus and a resistance-heated furnace in the range of temperature between 20 and 350 °C at the strain rate of 1000 s−1. With the help of Electron Backscattered Diffraction (EBSD) observation, theoretical calculated Schmid Factor (SF), Critical Resolved Shear Stress (CRSS), and critical equivalent stress (σ0.2), the dynamic compressive deformation behavior and corresponding mechanism of wrought AZ31 magnesium alloy along the normal direction (ND) were revealed in the current study. The results demonstrate that the c-axis of grains are gradually reoriented parallel to the normal direction of wrought AZ31-ND sheet with the temperature increasing, except the dynamic recrystallization (DRX) mechanism was activated or grains grew up. The non-basal slip and 101¯2 tension twinning are respectively the predominant deformation mechanisms at lower temperatures (≤250 °C) and higher temperatures (≥250 °C). The predominant type of DRX mechanism of wrought AZ31-ND sheet is rotational dynamic recrystallization (RDRX), which is regarded as an obstacle for the kernel misorientation concentration region enhancement.