Biochar has been used to remove heavy metals from aqueous solutions. In this study, a sulfurized wood biochar (SWB) by direct impregnation with elemental sulfur was produced and evaluated along with pristine wood biochar (WB) for adsorption characteristics and mechanism of mercury. Mercury adsorption by WB and SWB was well described by Langmuir model and pseudo second order model and the maximum adsorption capacities of WB and SWB were 57.8 and 107.5 mg g−1, respectively. Intraparticle diffusion model showed that mercury adsorption was fast due to boundary layer and slow adsorption due to diffusion into biochar pores. Although, mercury adsorption by both WB and SWB was predominantly influenced by the pH, temperature, salt concentration, and biochar dosage, the SWB showed a relatively stable mercury adsorption compared to WB under different conditions, suggesting the strong affinity of SWB for mercury. The XPS analysis showed different adsorption mechanisms of mercury between WB and SWB. In particular, mercury adsorption in WB was due to Hg-Cπ bond formation and interaction with carboxyl and hydroxyl groups, whereas in SWB it is primarily due to mercury interaction with C-SOx-C and thiophenic groups in addition to Hg-Cπ bond formation and interaction with carboxyl groups. The SEM-EDS mapping also demonstrated that mercury in SWB was related to carbon, oxygen and sulfur. Overall, the sulfurized biochar was effective for removing mercury from aqueous solution, and its direct production through pyrolysis with elemental sulfur impregnation of wood chips could make it an economic option as absorbent for treating mercury-rich wastewater. Display omitted •A sulfurized biochar (SWB) was produced by pyrolysis of wood chip with elemental S.•SWB was an effective adsorbent for removing Hg than pristine biochar (WB).•Hg adsorbed by SWB was more stable and less susceptible to environment changes.•Hg adsorption by WB was dominated by interactions with C=C, COH and COO.•Hg by SWB involved thiophenic and C-SOx-C forms in addition to C=C and COO.