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This research is concerned with the development of algorithmic approaches to achieve traffic surveillance data fusion in intelligent transportation system. A new image fusion method based on wavelet analysis and rough set theory is proposed in this paper to combine visible light image and infrared image into a higher performance image. This algorithm utilizes the characteristics of rough set theory to classify the wavelet coefficients of original images to obtain the fused image. Experimental results have shown that most of the final composite images have more integrated information content and better perceptual quality than either of the original images. The results indicate that application of this algorithm improves performance of intelligent transport system.