Based on input-output data of wheat in main wheat-producing provinces of China from 2004 to 2015, the potential of chemical fertilizer reduction and carbon emission reduction in wheat production in China was analyzed and the environmental efficiency and environment of wheat production were estimated using SBM model and ML index respectively in this paper. The results showed that:under the condition of scientific fertilization, the potential of reducing chemical fertilizers and reducing carbon emissions from wheat production in major producing provinces were 51.66% and 37.41% respectively. Under the conditions of fertilizer reduction and carbon emission reduction, the efficiency of wheat production environment was not reduced, the average efficiency of wheat production environment was 0.970 from 2004 to 2015, and the efficiency of wheat production environment in the north was lower than that in the south; the MLEFFCH index, MLTECH Index, the ML index of wheat production exceeded 1, which was larger than that of the chemical fertilizers. Fertilizer reduction and carbon reduction should benefit the actual production approaching to the maximum production output, in order to achieve the optimal Pareto production.