Today, the development of industries and rapid urbanization has a profound impact on the human environment. It can be said that the environment in the craft village is most affected. The environment in these areas is severely degraded and depending on the type of production, the environment in the craft villages is different. In Phong Khe ward of Bac Ninh Province, Vietnam, there are over 204 small and large facilities of recycling and producing paper. The paper facilities produce about 200,000 tons of paper each year and the amount of paper produced is not less than 500 tons each day in Phong Khe. They are creating livelihoods for more than 6,000 workers and generating local budgets from VND- 50 billion to VND 60 billion per year. Despite this great contribution, the use of old machines and "backward" modes of production means that paper recycling has caused serious air, soil, and water pollution in the region. The specific objectives of this study were as follows: (1) provide an overview of paper production process in the Phong Khe paper craft village; (2) comprehensive literature review of the current status of water environment, atmosphere environment, soil environment and solid waste; (3) figure out about waste treatment in Phong Khe ward.