A zone set inside a giant deciduous forest, which sees Sonic walking along large tree branches. It hosts flora and fauna in its backdrop, multiple short platforms and an elaborate maze of trees in the foreground.
It appears in the well-known Simon Wai prototype version of Sonic the Hedgehog 2. In Act 1, right at the start of the level, the way is blocked, but with the use of Debug Mode, the player can explore the little that was created of this zone. Act 2 is empty. The music that was planned for this level was used for Metropolis Zone instead and this level even has the same conveyor belts from Metropolis Zone, and many people believe there is a connection between Wood Zone and Metropolis Zone. When taking into account that time travel was intended to be a feature at one point, it's possible that Wood Zone is Metropolis Zone's "past" version, similarly to how Rock Zone was intended to be the past version of the scrapped Dust Hill Zone.
Along with Hidden Palace, some preliminary leftovers of Wood Zone can be accessed with a cheat device. However, there is even less data of the zone than Hidden Palace, and the game drops the player off in an alternate version of the first act of Emerald Hill Zone.
Very far to the right of the map, the map will start to look exactly like the beginning of the level, and the background turns to a very light blue, or the color of an untextured background. In Sonic 3, this is the basis for Loopback, a glitch involving a copy of the level.