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Two-dimensional (2D) transition metal dichalcogenide (TMDC) semiconductors not only hold great promises for the development of ultra-thin optoelectronic devices with low-energy consumption, but also provide ideal platforms to explore and tailor light-matter interaction, e.g., the exciton-photon interaction, at the atomic level, due to their atomic thickness, large exciton binding energy, and unique valley properties. In recent years, the exciton-photon interactions in TMDC semiconductor microcavities, including the strong exciton-photon coupling and lasing, have drawn increasing attention, which may open up new application prospects for transparent, on-chip coherent, and quantum light sources. Herein, we review the research progresses of strong exciton-photon interaction and lasing of TMDC semiconductors. First, we introduce the electronic structure, exciton, and emission properties of semiconducting TMDCs in the weak exciton-photon coupling regime. Next, the progresses on strong exciton-photon interaction and exciton-polaritons of these TMDCs are discussed from the aspects of photophysics, materials and fabrications, spectroscopies, and controls. Further, the progresses on TMDC lasers are introduced in the aspects of cavity types and materials, and finally, the challenges and prospects for these fields are discussed.