This paper proposes a multi-agent-based collaborative virtual manufacturing environment (VME) to save energy consumption and improve efficiency in the manufacturing process. In order to achieve the high autonomy of the manufacturing system, a multi-agent system (MAS) is designed to build a collaborative VME. In this new VME environment, edge computing is embedded to strengthen the cyber resource utilization and system economy. Moreover, an efficient communication channel between networks is proposed. The subsequent cooperation and collaboration protocols among agents are designed to ensure flexible and process-oriented operations. Furthermore, the fuzzy resolution algorithm is employed to resolve the competition conflicts among function-similar MASs in the distributed manufacturing scenario. Lastly, a simulation and case study are performed to evaluate the performance of the proposed VME in Internet of Things (IoT)-based manufacturing. The analysis results have demonstrated the feasibility and effectiveness of the proposed VME system.