Used primarily as an intermediate in organic synthesis, this compound serves in the preparation of pharmaceuticals and agrochemicals due to its reactive chloromethyl group. It enables the introduction of the oxazole ring into larger molecules, which is valuable in drug design for enhancing metabolic stability and bioavailability. It is also employed in the synthesis of functional materials and ligands for catalysis. Its reactivity allows for easy coupling with nucleophiles, making it useful in building complex heterocyclic systems.