Oxygen-vacant titanium dioxide (TiO2−x) nanoparticles possessing a narrower band gap were synthesized with a single-step process using N2/Ar/He thermal plasma as a heating source. Sample characterization showed that the formed TiO2−x nanoparticles had a size within 5–40nm and were in a mixing form of anatase and rutile. An evident absorption red shift to 470nm wavelength was observed. The deconvolution results of XPS spectra supported the formation of TiO2−x due to the presence of Ti3+2p peaks. The Hg removal efficiency of TiO2−x nanoparticles increased with increasing O2 concentration and in the presence of light irradiation, suggesting an enhancement in Hg0 oxidation. H2O molecules, however, greatly reduced the Hg removal of TiO2−x under visible-light (VL) irradiation. The photoinduced hydrophilicity of TiO2−x under VL irradiation was suspected to amplify the competitive adsorption of H2O that decreased Hg capture. Hg removal performances at 50°C were better than those at 25 and 100°C, suggesting that both adsorption and catalytic oxidation limit the Hg removal. These observations also implicate that the bonding between TiO2−x and adsorbed Hg was weak and adsorption reaction may be reversible.