The manufacturing accuracy of machine tools can be significantly improved by calibrating geometric errors and compensating for them. An innovative method for measuring geometric errors, used for coordinate measuring machines, is sequential multilateration with tracking interferometers. The application of this method for the calibration of machine tools is being investigated for the first time and is enhanced with two functions: the calibration of rotary axes and continuous measurement during machine movement. Finally, the effectiveness and efficiency of the method in relation to improving the manufacturing accuracy of machine tools are examined. Sequential multilateration can be applied to various kinematics, provided they are mathematically described. In coordinate metrology, tracking interferometers have so far been used for.