Today, 90% of paper pulp is made of wood. Paper production accounts for about 35% of felled trees, and represents 1.2% of the world's total economic output.]Recycling one ton of newsprint saves about 1 ton of wood while recycling 1 ton of printing or copier paper saves slightly more than 2 tons of wood. This is because kraft pulping requires twice as much wood since it removes lignin to produce higher quality fibres than mechanical pulping processes. Relating tons of paper recycled to the number of trees not cut is meaningless, since tree size varies tremendously and is the major factor in how much paper can be made from how many trees.[6] Trees raised specifically for pulp production account for 16% of world pulp production, old growth forests 9% and second- and third- and more generation forests account for the balance.] It has been estimated that recycling half the world's paper would avoid the harvesting of 20 million acres (81,000 km²) of forestland.

Energy consumption is reduced by recycling,altough there is debate concerning the actual energy savings realized. Some calculations show that recycling one ton of newspaper saves about 4,000 kWh (14 GJ) of electricity.

About 35% of municipal solid waste (before recycling) by weight is paper and paper products.

It cycling causes 35% less water pollution and 74% less air pollution than making virgin paper. Pulp millscan be sources of both air and water pollution, especially if they are producing bleached pulp. Modern mills produce considerably less pollution than those of a few decades ago. Recycling paper decreases the demand for virgin pulp and thus reduces the overall amount of air and water pollution associated with paper manufacture. Recycled pulp can be bleached with the same chemicals used to bleach virgin pulp, but hydrogen peroxide and sodium hydrosulfite are the most common bleaching agents. Recycled pulp, or paper made from it, is known as PCF (process chlorine free) if no chlorine-containing compounds were used in the recycling process. However, recycling mills may have polluting by-products, such as sludge. De-inking at Cross Pointe's Miami, Ohio mill results in sludge weighing 22% of the weight of wastepaper recycled.

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