Tree nuts are important economic crops and are consumed as healthy snacks worldwide. In recent years, the increasing needs for more efficient and effective postharvest processing technologies have been driven by the growing production, higher quality standards, stricter food safety requirements, development of new harvesting methods, and demand to achieve energy saving and carbon neutralization. Among all, the technologies related to drying, disinfection, and disinfestation and downstream processes, such as blanching, kernel peeling, and roasting, are the most important processes influencing the quality and safety of the products. These processes make up the largest contribution to the energy consumptions and environmental impacts stemming from tree nut production. Although many studies have been conducted to improve the processing efficiency and sustainability, and preserve the product quality and safety, information from these studies is fragmented and a centralized review highlighting the important technology advancements of postharvest processing of tree nuts would benefit the industry. In this comprehensive review, almonds, walnuts, and pistachios are selected as the representative crops of tree nuts. Current statuses, recent advances, and ongoing challenges in the scientific research as well as in the industrial processing practices of these tree nuts are summarized. Some new perspectives and applications of tree nut processing waste and by‐products (such as the hulls and shells) are also discussed. In addition, future trends and research needs are highlighted. The material presented here will help both stakeholders and scientists to better understand postharvest tree nut processing and provide technological recommendations to improve the efficiency and sustainability, product quality and safety, and competitiveness of the industry.