This paper critically reviewed the current knowledge and challenges of rice husk biochar (RHB) production and its effects on soil properties, plant growth, immobilization of heavy metals, reduction of nutrient leaching and mitigation of greenhouse gas emissions. The characteristics of RHBs produced at various pyrolysis temperatures were discussed and compared to biochars derived from other agro- industrial wastes. RHBs produced at higher pyrolysis temperatures show lower hydrogen/carbon ratio, which suggests the presence of higher aromatic carbon compounds. The increase of pyrolysis temperature also results in production of RHBs with higher ash content, lower yield and higher surface area. RHB usually has higher silicon and ash contents and lower carbon content compared to biochars derived from other feedstocks at the same pyrolysis conditions. Although it depends on soil type, RHB application can improve soil organic carbon content, cation exchange capacity, available K concentration, bulk density and microbial activity. The effect of RHB on soil aggregation mainly depends on soil texture. The growth of different crops is also enhanced by application of RHB. RHB addition to soil can immobilize heavy metals and herbicides and reduce their bioavailability. RHB application shows a significant capacity in reduction of nitrate leaching, although its magnitude depends on the biochar application rate and soil biogeochemical characteristics. Use of RHB, especially in paddy fields, shows a promising mitigation effect on greenhouse gas (CH4, CO2 and N2O) emissions. Although RHB characteristics are also related to other factors such as pyrolysis heating rate and residence time, its performance for specific applications (e.g. carbon sequestration, pH amendment) can be manipulated by adjusting the pyrolysis temperature. More research is needed on long-term field applications of RHB to fully understand the advantages and disadvantages of RHB as a soil amendment.