In the current era of intense competition, optimizing the design and manufacturing processes through time reduction measures can prove to be advantageous. The objective of profit maximization is a crucial consideration across diverse industries. The utilization of 3D printing technology has been crucial in producing personalized items at a reduced expense and with increased efficiency across various industrial domains. Fused deposition modeling (FDM) is an effective and cost-efficient Additive Manufacturing (AM) technique utilized in diverse engineering applications. The introduction of the FDM process occurred in the early 1990s by Stratasys Inc., a company based in the United States. Since then, FDM technology has become a prevalent AM process widely utilized for producing functional prototypes with precision and safety. To advance the technology, it necessitates a comprehensive understanding of the process, involved parameters, applications, and trends, as well as identifying challenges and prospects. This review explores the fundamental underpinnings of the FDM process, detailing production stages, parameters, applications, and challenges and prospects. It critically evaluates process parameters and their influence on the FDM process, drawing insights from a synthesis of relevant studies. The paper also provides an in-depth examination of FDM applications across various domains, evaluating and summarizing associated studies. The study draws upon prior research and highlights the evolving landscape of FDM application trends and current trends, providing a solid foundation for readers to grasp the topic.