Lithium bromide is widely used as a desiccant and absorbent in air conditioning and humidity control systems. Due to its strong affinity for water, it is a key component in absorption chillers, where it absorbs water vapor to create a cooling effect without the need for mechanical compressors. This makes it valuable in large-scale industrial and commercial cooling applications, especially where energy efficiency and low noise operation are important.

It is also used in the pharmaceutical industry as a catalyst or reagent in organic synthesis, particularly in the preparation of other bromine-containing compounds. In some cases, lithium bromide has been explored for use in lithium-ion battery research and in certain types of electrochemical cells due to its ionic conductivity in solution.

Additionally, it finds application in the drying of gases and as a humidity-regulating agent in enclosed environments such as laboratories and storage facilities.