Wormwood oil is used for various digestion problems such as loss of appetite, upset stomach, and intestinal spasms. 

Some people apply wormwood oil directly to the skin for healing wounds and insect bites. Wormwood oil is used as a counter-irritant to reduce pain.

Wormwood oil is used as a fragrance component in soaps, cosmetics, and perfumes. It is also used as an insecticide.