Ethanol is present in alcoholic drinks (beer, wine, spirits) when diluted. It is used as a topical agent to prevent skin infections, in pharmaceutical preparations (e.g. rubbing compounds, lotions, tonics, colognes), cosmetics, and in perfumes. Ethanol may be present in fuels, labelled as ethanolblended fuels, and is used as an industrial solvent for fats, oils, waxes, resins, and hydrocarbons. It is used to make many chemical compounds, lacquers, plastics and plasticizers, rubber and rubber accelerators, aerosols, mouthwash products, soaps and cleaning preparations, polishes, surface coatings, dyes, inks, adhesives, preservatives, pesticides, explosives, petrol additives/substitutes, elastomers, antifreeze, yeast growth medium, human and veterinary medicines and as a dehydrating agent.

Ethanol is a clear, colourless liquid with a characteristic pleasant odour and burning taste. It is highly flammable. Ethanol is used to dissolve other chemical substances and mixes readily with water and many organic liquids. Ethanol is considered a volatile organic compound by the National Pollutant Inventory.

Ethanol rapidly absorbs water from the air. It mixes readily with most organic liquids.