2,5-Dimethylindoline is primarily used in the synthesis of various organic compounds, particularly in the pharmaceutical and agrochemical industries. It serves as a key intermediate in the production of indole derivatives, which are essential for developing drugs with potential therapeutic properties.

In pharmaceutical research, it is utilized to create compounds that may exhibit biological activities such as anti-inflammatory, antiviral, or anticancer effects. Its structure is also valuable in the development of dyes and pigments due to its ability to form stable and vibrant colors.

Additionally, 2,5-Dimethylindoline is employed in the synthesis of complex molecules for material science, contributing to the creation of advanced polymers and coatings with specific functional properties. Its versatility makes it a valuable building block in organic chemistry and industrial applications.