2-Hydroxyethylhydrazine is primarily used in the synthesis of various pharmaceuticals, particularly in the production of antihypertensive drugs. It serves as a key intermediate in the creation of compounds that help regulate blood pressure. Additionally, it is employed in the preparation of agricultural chemicals, including herbicides and fungicides, which protect crops from pests and diseases. In the field of polymer chemistry, it acts as a cross-linking agent, enhancing the durability and stability of resins and coatings. Its ability to react with carbonyl compounds makes it valuable in organic synthesis, especially in the formation of hydrazones and other derivatives.