Due to the rapid development of precision manufacturing technology, much research has been conducted in the field of multisensor measurement and data fusion technology with a goal of enhancing monitoring capabilities in terms of measurement accuracy and information richness, thereby improving the efficiency and precision of manufacturing. In a multisensor system, each sensor independently measures certain parameters. Then, the system uses a relevant signalprocessing algorithm to combine all of the independent measurements into a comprehensive set of measurement results. The purpose of this paper is to describe multisensor measurement and data fusion technology and its applications in precision monitoring systems. The architecture of multisensor measurement systems is reviewed, and some implementations in manufacturing systems are presented. In addition to the multisensor measurement system, related data fusion methods and algorithms are summarized. Further perspectives on multisensor monitoring and data fusion technology are included at the end of this paper.