Thermal plasma was applied for the treatment of coke wastewater sludge derived from the steel industry in order to investigate the feasibility of the safe treatment and energy recovery of the sludge. A 30 kW plasma torch system was applied to study the vitrification and gas production of coke wastewater sludge. Toxicity leaching results indicated that the sludge treated via the thermal plasma process converted into a vitrified slag which resisted the leaching of heavy metals. CO2 was utilized as working gas to study the production and heat energy of the syngas. The heating value of the gas products by thermal plasma achieved 8.43 kJ/L, indicating the further utilization of the gas products. Considering the utilization of the syngas and recovery heat from the gas products, the estimated treatment cost of coke wastewater sludge via plasma torch was about 0.98 CNY/kg sludge in the experiment. By preliminary economic analysis, the dehydration cost takes an important part of the total sludge treatment cost. The treatment cost of the coke wastewater sludge with 50 wt.% moisture was calculated to be about 1.45 CNY/kg sludge dry basis. The treatment cost of the coke wastewater sludge could be effectively controlled by decreasing the water content of the sludge. These findings suggest that an economic dewatering pretreatment method could be combined to cut the total treatment cost in an actual treatment process.