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Eucalyptus essential oil is used as a medicine to treat a variety of common diseases and conditions including nasal congestion, asthma, muscle pain and as a tick repellent. The anti-inflammatory properties of eucalyptus can ease symptoms of herpes. Applying eucalyptus oil to a cold sore may reduce pain and speed up the healing process. Use Eucalyptus essential oil for diffuser to purify the air and boost the body's defenses from within.