Metal matrix nanocomposites (MMNCs) become irreplaceable in tribology industries, due to their supreme mechanical properties and satisfactory tribological behavior. However, due to the dual complexity of MMNC systems and tribological process, the anti-friction and anti-wear mechanisms are unclear, and the subsequent tribological performance prediction and design of MMNCs are not easily possible: A critical up-to-date review is needed for MMNCs in tribology. This review systematically summarized the fabrication, manufacturing, and processing techniques for high-quality MMNC bulk and surface coating materials in tribology. Then, important factors determining the tribological performance (mainly anti-friction evaluation by the coefficient of friction (CoF) and anti-wear assessment with wear rate) in MMNCs have been investigated thoroughly, and the correlations have been analyzed to reveal their potential coupling/synergetic roles of tuning tribological behavior of MMNCs. Most importantly, this review combined the classical metal/alloy friction and wear theories and adapted them to give a (semi-)quantitative description of the detailed mechanisms of improved anti-friction and anti-wear performance in MMNCs. To guarantee the universal applications of these mechanisms, their links with the analyzed influencing factors (e.g., loading forces) and characteristic features like tribo-film have been clarified. This approach forms a solid basis for understanding, predicting, and engineering MMNCs’ tribological behavior, instead of pure phenomenology and experimental observation. Later, the pathway to achieve a broader application for MMNCs in tribo-related fields like smart materials, biomedical devices, energy storage, and electronics has been concisely discussed, with the focus on the potential development of modeling, experimental, and theoretical techniques in MMNCs’ tribological processes. In general, this review tries to elucidate the complex tribo-performances of MMNCs in a fundamentally universal yet straightforward way, and the discussion and summary in this review for the tribological performance in MMNCs could become a useful supplementary to and an insightful guidance for the current MMNC tribology study, research, and engineering innovations.