Bulk-scale production of individual graphene sheets is still challenging although several methodologies have been developed. We report here a rapid and cost-effective approach to reduction of graphene oxide (GO) using hydroxylamine as a reductant. We demonstrated that the reduction of GO with hydroxylamine could take place quickly under a mild condition, and the as-produced graphene sheet showed high electrical conductivity, fair crystalline state, and admirable aqueous dispersibility without using any stabilizing reagents. A mechanism for removal of epoxide and hydroxyl groups from GO by hydroxylamine has been proposed. Comparing with other reported methods, the reduction of GO with hydroxylamine should be a preferable route to bulk-scale production of the graphene because it is simple, efficient, and cost-effective.