A new global potential energy surface for the ground state of MgH2 was constructed using the permutation invariant polynomial neural network method. About 70 000 ab initio energy points were calculated via the multi‐reference configuration interaction method method with aug‐cc‐pVTZ and aug‐cc‐pVQZ basis sets, and these points were used to construct the potential energy surface (PES). To avoid basis set superposition error, the basis set was extrapolated to the complete basis set limit using the two point energy extrapolation formula. The root mean square error of the present PES is only 8.85 meV. Initial state (v = 0, j = 0) dynamics studies were performed using the time‐dependent wave packet method with a second‐order split operator for the total angular momentum J up to a value of 50. Furthermore, the reaction probability, integral cross section, and thermal rate constant are reported and compared with available theoretical studies.