Diethyl benzoylmalonate is primarily used as an intermediate in organic synthesis, particularly in the production of pharmaceuticals and fine chemicals. It plays a key role in the synthesis of various heterocyclic compounds, which are essential in the development of drugs and active pharmaceutical ingredients (APIs). Notably, it is used in the production of antimalarial drugs such as chloroquine and amodiaquine. Its structure allows it to participate in condensation and cyclization reactions, making it valuable for constructing complex molecular frameworks. Additionally, it is utilized in the preparation of dyes, agrochemicals, and other specialty chemicals, contributing to advancements in these industries. Its versatility in chemical reactions makes it a useful building block for researchers and manufacturers.