Extrusion‐based additive manufacturing (EAM) has become an increasingly important method for fabricating complex ceramic components due to its cost‐effectiveness, design flexibility, and suitability for small‐batch production. This review presents a comprehensive evaluation of EAM processes for advanced ceramics, including water‐based and thermoplastic extrusion methods such as fused deposition modeling, extrusion free‐form fabrication, thermoplastic 3D printing, and photoassisted extrusion techniques. This study critically examines how key process parameters, including extrusion pressure, velocity, nozzle diameter, and layer thickness, affect surface finish, dimensional accuracy, and defect formation. The occurrence of porosity and cracking in both single‐ and multistage processes highlights the necessity of advanced postprocessing techniques. Methods such as debinding, sintering, infiltration, and isostatic pressing are evaluated for their effectiveness in improving densification and microstructural integrity. Preprocessing routes including liquid silicon infiltration and spark plasma sintering are also explored. Additionally, the review addresses optimization strategies through toolpath planning, machine learning, and process simulation. Applications in biomedical scaffolds, aerospace components, and functional electronics are discussed to demonstrate the industrial potential of EAM. By synthesizing recent developments in materials, process control, and performance assessment, this work identifies major challenges and opportunities in ceramic additive manufacturing and offers guidance for future research and industrial applications.