Wild rice *GL12<sup>W</sup>* improves grain length and salt tolerance in both indica and japonica genetic backgrounds. *GL12<sup>W</sup>* alters cell length by regulating grain size related genes including *GS2*, and positively regulates salt tolerance related genes, such as *NACs*, *NCED3*, under salt stresses. A G/T variation in the *GL12* promoter determines its binding to coactivator GIF1 and transcription factor WRKY53, impacting expression and contributing to indica/japonica subspecies divergence. The study provides resources for rice breeding and insights into yield and salt tolerance trade-off mechanisms.