The invention discloses a system for emergency vehicle rescue and identity recognition and an application method. When a user suffers a car accident or needs help, emergency data are sent automatically or manually, identification (ID) information, the geographic position, operating condition state data detected by a vehicle computer and real-time audio-video interactive information of a vehicle suffered the accident are uploaded to a central data base main control system, the information is timely shared with relevant departments, and a rescue scheme is accordingly and quickly worked out. When a breakdown van is nearby the vehicle suffered the accident, the vehicle suffered the accident can be accurately found through a wifi or radio frequency identification device (RFID) radio frequency identification signal sent by the vehicle suffered the accident. The operating condition state data of the vehicle are automatically detected, and when a preset alarm value is reached, a driver and a conductor are prompted to timely eliminate potential safety hazard. When the vehicle is stolen or robbed, evidence obtaining and positioning are easy, and quick interception and capture are facilitated. Wide area network connection, wireless local area network establishment of intelligent terminals, entertainment, driving records, navigation, an electronic dog, vehicle identification recognition and other comprehensive application functions can be achieved.