Ancymidol is widely used in agriculture and horticulture as a plant growth regulator. It effectively inhibits stem elongation by suppressing gibberellin biosynthesis, which helps control plant height and promote compact, bushy growth. This makes it especially valuable in greenhouse production of ornamental plants such as poinsettias, chrysanthemums, and petunias, where uniform size and shape are critical for marketability.

It is applied as a foliar spray or soil drench and is commonly used to prevent lodging in seedlings and transplants. Ancymidol also enhances flowering in certain species and improves plant resilience during shipping and handling. Due to its potency, it is used at very low concentrations, making it cost-effective for commercial growers. Its application is particularly favored in situations where mechanical pruning or spacing is impractical.