This paper proposes a new approach to fuzzy inference system for modeling nonlinear systems based on measured input and output data. In the suggested fuzzy inference system, the number of fuzzy rules and parameter values of membership functions are automatically decided by using the extended kernel method. The extended kernel method individually performs linear transformation and kernel mapping. Linear transformation projects input space into linearly transformed input space. Kernel mapping projects linearly transformed input space into high dimensional feature space. Especially, the process of linear transformation is needed in order to solve difficulty determining the type of kernel function which presents the nonlinear mapping in according to nonlinear system. The structure of the proposed fuzzy inference system is equal to a Takagi-Sugeno fuzzy model whose input variables are weighted linear combinations of input variables. In addition, the number of fuzzy rules can be reduced under the condition of optimizing a given criterion by adjusting linear transformation matrix and parameter values of kernel functions using the gradient descent method. Once a structure is selected, coefficients in consequent part are determined by the least square method. Simulated results of the proposed technique are illustrated by examples involving benchmark nonlinear systems.