In this study, the split Hopkinson pressure bar was used to investigate the effect of ageing treatment on dynamic compression properties and microstructure of extruded ZK60 alloy under different strain rates. The experimental results demonstrated that the amount of the precipitated MgZn and MgZn2 phases increases after ageing treatment. The peak flow stress increases with increasing strain rate. Due to ageing precipitation strengthening, the dynamic compressive strength of the ZK60 alloy is improved. EBSD and TEM results indicated that the dynamic compression deformation mechanism of the ZK60 alloy is the interaction of twins, dislocations, and dynamic recrystallisation. Furthermore, the extension twinning boundaries and the precipitated phases hinder the slip of dislocations during deformation, which significantly affects dislocation strengthening.