The research progresses on the investigations of atomic structure and collision dynamics with highly charged ions based on the heavy ion storage rings and electron ion beam traps in recent 20 years are reviewed. The structure part covers test of quantum electrodynamics and electron correlation in strong Coulomb field studied through dielectronic recombination spectroscopy and VUV/x-ray spectroscopy. The collision dynamics part includes charge exchange dynamics in ion-atom collisions mainly in Bohr velocity region, ion induced fragmentation mechanisms of molecules, hydrogen-bound and van de Waals bound clusters, interference and phase information observed in ion-atom/molecule collisions. With this achievements, two aspects of theoretical studies related to low energy and relativistic energy collisions are presented. The applications of data relevant to key atomic processes like dielectronic recombination and charge exchanges involving highly charged ions are discussed. At end of this review, some future prospects of research related to highly charged ions are proposed.