The NO conversion efficiency in a pulsed corona discharge plasma (PCDP) reactor in the presence of a new additive, hydrazine hydrate (N2H4·H2O), was studied, and the reaction mechanism was analyzed. The NO conversion efficiency reached 62.5%, and the NO conversion Energy Yield (EY) reached 20.9 gNO/kWh, which is higher than that obtained using water or ammonia additives under the same conditions. The predominant elementary reactions and radicals, as well as the mechanism by which the additive enhanced the NO conversion process, were determined by comparing experimental data with theoretical simulation results and by performing a sensitivity analysis. After the addition of N2H4·H2O, the N2H4 reacts with radicals generated in the PCDP reactor to form a large quantity of strongly reducing species with NH2 as the predominant component, which can directly reduce NO to N2 and effectively prevent the generation of N2O. Compared with the traditional PCDP-based De-NOx process in which nitric acid is generated by oxidation with an additional neutralization step required, this new PCDP-based De-NOx process with N2H4·H2O addition is superior because NO is mostly reduced to N2. The study provides a basis for the application of N2H4·H2O as a synergist to improve NO abatement in a PCDP reactor.