This study evaluates the performance of the Internal Circulation eXperience (ICX) reactor in treating high-strength paper mill wastewater in the south of Vietnam. The ICX reactor effectively managed organic concentrations (sCOD) of up to 11,800 mg/L. Results indicate a volumetric loading rate (VLR) of 26.8 kg/m3 × day, achieving processing efficiency exceeding 81% while consistently maintaining volatile fatty acids (VFA) below 300 mg/L. The study employed Monod and Stover-Kincannon kinetic modeling, revealing dynamic parameters including Ks = 56.81 kg/m3, Y = 0.121 kgVSS/kgsCOD, Kd = 0.0242 1/day, μmax = 0.372 1/day, Umax = 151 kg/m3 × day, and KB = 175.92 kg/m3 × day, underscoring the ICX reactor's superior efficiency compared to alternative technologies. Notably, the reactor's heightened sensitivity to VFA levels necessitates influent concentrations below 1,400 mg/L for effective sludge treatment. Furthermore, the influence of calcium on treatment efficiency requires post-treatment alkalinity maintenance below 19 meq/L to stabilize MLVSS/MLSS concentration. Biogas production ranged from 0.6 to 0.7 Nm3 biogas/kg sCOD; however, calcium impact diminished this ratio, reducing overall treatment efficiency and biogas production. The study contributes valuable insights into anaerobic treatment processes for complex industrial wastewaters, emphasizing the significance of controlling VFA, calcium, and alkalinity for optimal system performance.