Arbuscular mycorrhizal fungi (AMF) are critical links in plant–soil continuum and play a critical role in soil carbon cycles. Soil respiration, one of the largest carbon fluxes in global carbon cycle, is sensitive to precipitation change in semiarid ecosystems. In this study, a field experiment with fungicide application and water addition was conducted during 2010–2013 in a semiarid steppe in Inner Mongolia, China, and soil respiration was continuously measured to investigate the influences of AMF on soil respiration under different precipitation regimes. Results showed that soil respiration was promoted by water addition treatment especially during drought seasons, which induced a nonlinear response of soil respiration to precipitation change. Fungicide application suppressed AMF root colonization without impacts on soil microbes. AMF suppression treatment accelerated soil respiration with 2.7, 28.5 and 37.6 g C m⁻² across three seasons, which were mainly caused by the enhanced heterotrophic component. A steeper response of soil respiration rate to precipitation was found under fungicide application treatments, suggesting a greater dampening effect of AMF on soil carbon release as water availability increased. Our study highlighted the importance of AMF on soil carbon stabilization and sequestration in semiarid steppe ecosystems especially during wet seasons.