Dry eye (DE) is a multifactorial ocular surface disease characterised by an imbalance in tear homeostasis. The pathogenesis of DE is complex and related to environmental, immunological (e.g., T helper 17 cells) and other factors. However, the DE disease pathogenesis remains unclear, thereby affecting its clinical treatment. This study aimed to explore the mechanism through which prostaglandin E2 (PGE2) affects DE inflammation by regulating Th17. The DE mouse model was established through subcutaneous injection of scopolamine hydrobromide. The tear secretion test and break‐up time (BUT) method were used to detect tear secretion and tear film BUT, respectively. Enzyme‐linked immunosorbent assay (ELISA) was used to detect the concentrations of PGE2, interleukin (IL)‐17, IL‐6 and tumour necrosis factor (TNF‐α) in tear fluid and those of PGE2 and IL‐17 in the serum. RT‐qPCR and western blotting were used to test the mRNA and protein expression levels of IL‐17 and retinoid‐related orphan receptor‐γt (RORγt). PGE2 was highly expressed in the DE mouse model. The mRNA and protein levels of IL‐17 and the key Th17 transcription factor RORγt were increased in tissues of the DE mice. Moreover, PGE2 promoted tear secretion, reduced the BUT, increased the IL‐17 concentration in tears and increased the Th17 cell proportion in DE, whereas the PGE2 receptor inhibitor AH6809 reversed the effects of PGE2 on tear secretion, BUT, and the Th17 cell proportion in draining lymph node (DLN) cells. Taken together, the study findings indicate that PGE2 could induce DE‐related symptoms by promoting Th17 differentiation.