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Implementation of data mining technology in some areas such as banking, finance, marketing, insurance, health care, etc. has given very good results. However, applications of data mining in product design and manufacturing are not as broad as expected and many challenges are still ahead. This work analyzes the reasons for the limitation of data mining application in manufacturing industry and focuses on reviewing the state-of-the-art of the applications of data mining in product design and manufacturing. Some points of views are also discussed and finally this paper is concluded.