Abstract: Lithium-ion batteries have been widely used as key carriers of electrochemical energy storage owing to their excellent performance. However, manufacturing defects or non-compliance with safety norms can easily trigger thermal runaway in lithium batteries, leading to safety accidents such as fires and explosions. This highlights the urgent need for advanced lithium battery fire suppression technology. This paper provides a comprehensive analysis of the fire characteristics and thermal runaway mechanisms of lithium batteries, based on a review of relevant literature. Additionally, it examines various fire extinguishing agents and strategies, highlighting the two primary requirements for managing and preventing thermal disasters associated with lithium batteries: fire suppression and cooling. For lithium battery fires, this study introduces and compares the fire extinguishing mechanisms, and the fire extinguishing and cooling efficiency of different types of extinguishing agents: gas-based, water-based, and solid agents. The comparison considers multiple perspectives, such as extinguishing and cooling capacity, insulation, toxicity, residue and cost. Notably, C₆F₁₂O exhibits excellent fire extinguishing capabilities, while water mist demonstrates superior cooling performance. To enhance fire extinguishing and cooling effects, new strategies and devices are analyzed, such as cooperative fire extinguishing, intermittent spray and fire extinguishing microcapsules. The study also summarizes the limitations of current extinguishing agents for suppressing lithium battery fires and the shortcomings of extinguishing strategies, offering several methods for improving the performance of extinguishing agents. Collaboration between early fire detection technology and fire suppression technology can achieve early warning and precise fire extinguishing effects. According to the specific characteristics of lithium battery fires, a comprehensive analysis from the perspectives of fire behavior, thermal behavior and system toxicity is essential. The development of an ideal extinguishing agent with high thermal conductivity, high insulation, clean, cost-effective and non-toxic byproducts can be achieved using additives or new formulations. By developing more efficient new extinguishing strategies, it is possible to effectively govern and prevent battery thermal disasters.