Microwave torrefaction of rice straw and pennisetum was researched in this article. Higher microwave power levels contributed to higher heating rate and reaction temperature, and thus produced the torrefied biomass with higher heating value and lower H/C and O/C ratios. Kinetic parameters were determined with good coefficients of determination, so the microwave torrefaction of biomass might be very close to first-order reaction. Only 150W microwave power levels and 10min processing time were needed to meet about 70% mass yield and 80% energy yield for torrefied biomass. The energy density of torrefied biomass was about 14% higher than that of raw biomass. The byproducts (liquid and gas) possessed about 30% mass and 20% energy of raw biomass, and they can be seen as energy sources for heat or electricity. Microwave torrefaction of biomass could be a competitive technology to employ the least energy and to retain the most bioenergy.