Pulp industry is one of the oldest and most large-scale chemical industries to realize biomass high-value utilization in the world. In pulp industry, it is perplexed researches and engineers that the kraft pulp yield is far from the cellulose and hemicellulose contents in biomass. Since the methyl mercaptan (MeSH) can be self-produced by kraft pulping process, its-assisted kraft pulping has been revisited to increase pulp yield. The MeSH has strong nucleophilicity, making it could be consumed by demethylation or non-demethylation reactions. To achieve a higher MeSH recovery, it has important significance to investigate the relations of MeSH and its products with pulping conditions. It was found that employing higher pulping temperature, more alkali charge, and larger ratios of Na2S:MeSH can greatly improve the recyclable residual MeSH content in black liquors from 17–36%. With the moderate pulping conditions, the residual MeSH content was approximately 30% accounting on the original MeSH. Amounts of dimethyl sulfide (DMS), the high value demethylation product of lignin or hemicellulose by MeSH, was found in black liquors up to 15% on the original MeSH. Almost half amount of MeSH involved in the non-demethylation reactions and can not be recycled. In the separated kraft lignins, the generation pathway and chemical structure of the new methylsulfur-containing lignin was supposed based on the X-ray photoelectron spectroscopy analysis. To obtain the economic balance and profit, the DMS recycling was proposed as the cost compensation, or adopting the partial MeSH-assisted kraft pulping in the batch digesting systems.