With the use of sensorless control strategy, mechanical position sensors can be removed from the gearbox, so as to decrease the maintenance costs and enhance the system robustness. In this paper, a switching PI control based model reference adaptive system (MRAS) observer using Fuzzy-Logic-Controller (FLC) is introduced for sensorless control of permanent magnet synchronous motor (PMSM) drives. The main work and innovation of this paper include: 1) A disturbance observer based voltage compensation method is proposed to solve the problems of voltage distortion in voltage source inverter (VSI) fed PMSM systems. 2) A double closed-loop FLC is designed for speed and current control. The response performance of speed regulation and the accuracy of the command voltage are improved, and the difficulty of manual adjustment of control parameters is avoided. 3) A sensorless control strategy of a switching PI control based MRAS observer is proposed for stator resistance tracking. By setting different thresholds, the proposed MRAS observer can choose the appropriate PI adaptive mechanism based on the amplitude of the current error variable, which can improve the accuracy of resistance estimation and improve the dynamic performance of sensorless control. 4) The experimental results are given to verify the availability of the proposed scheme.