The invention discloses a system and method for realizing vehicle state monitoring. The system comprises a vehicle-mounted terminal and a vehicle networking cloud service center in communication connection with the vehicle-mounted terminal, wherein the vehicle-mounted terminal comprises a positioning module, a vehicle self-diagnosis module, a three-axle acceleration sensor module, an oil-level linear sensor module and a communication module; vehicle-mounted data comprises positioning information, contamination discharging parameters, running state parameters of vehicle parts, acceleration and deceleration information, and liquid-level data of oil mass; the vehicle networking cloud service center is used for receiving the vehicle-mounted data transmitted by the communication module, performing unpacking calculation and treatment on the vehicle-mounted data, and storing calculation and treatment results to a vehicle networking service platform. Through the adoption of the multifunctional system and method for realizing vehicle state monitoring, disclosed by the invention, the running state of a vehicle is monitored, the position of the vehicle, the journey of the vehicle, the speed of the vehicle, the oil consumption of the vehicle, and the like are monitored in real time, so that a driver can discover the problems of the vehicle in time, modifying or optimizing measures are provided in time, and the driving safety is provided.