It is used as a catalyst for Friedel-Crafts acylation and alkylation of aromatic compounds. It is one of the most commonly employed Lewis acids for a wide variety of organic transformations. It catalyzes the ene reaction, polymerization, and isomerization reactions. For example, it can be used to synthesis ethyl benzene which is a precursor for producing polystyrene. It can be used for producing dodecylbenzene, a key intermediate for detergents. It is useful in the production of anthroquinone, the presursor for dyestuffs. It is used in the synthesis of bis(arene) metal complexes, through Fischer-Hafner synthesis. Gattermann-Koch reaction employs aluminum chloride for introducing formyl group onto aromatic rings.

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