N-Methyl-4-nitrophthalimide is primarily used as an intermediate in organic synthesis, particularly in the production of dyes and pigments. Its nitro group makes it a valuable compound for creating colorants with specific properties, such as lightfastness and stability. Additionally, it serves as a precursor in the synthesis of pharmaceuticals, where its structure can be modified to develop active drug components. In material science, it is employed in the preparation of polymers and plastics, contributing to the enhancement of their thermal and mechanical properties. Its application also extends to agrochemicals, where it is utilized in the development of pesticides and herbicides, aiding in the protection of crops from pests and diseases.