Laser-induced liquid micro-jet technology is a medical method that uses lasers to induce cavitation bubbles used to generate micro-jets, so as to cut target tissues in a narrow chamber. It has advantages of low thermal damage, high precision, minimal invasiveness, and a high degree of choice for elastic tissues such as membranes and blood vessels. The mechanism of laser-induced micro-jet generation and the structure of a typical micro-jet system are introduced. Its application and research progress in medical field are reviewed. The key issues that restrict the clinical application of laser-induced micro-jet technology are summarized, and its application potential in medical application is prospected.