Sulfolane is widely used as a solvent in the petrochemical industry, especially in aromatic extraction processes. It selectively dissolves aromatic hydrocarbons like benzene, toluene, and xylene from hydrocarbon mixtures, making it essential in refining operations to produce high-purity aromatics for plastics, fuels, and chemical intermediates.

It is also employed in natural gas processing to remove impurities such as hydrogen sulfide and carbon dioxide due to its high thermal and chemical stability. Its ability to perform under high temperatures without degradation makes it suitable for extraction units operating under severe conditions.

In addition, sulfolane finds use in polymerization reactions and as a solvent in lithium-ion battery electrolytes, where it helps improve conductivity and battery performance. It is also utilized in some pharmaceutical syntheses where a polar, aprotic solvent is required.