This study investigates the composition and potential larvicidal activity of the essential oils isolated from the elite plant,Artemisia vulgaris L. which is commonly known as mugwort. Essential oils were hydrodistilled from in vitro raised stemsand analysed by GC-MS. The major components of this oil were camphor, camphene, α-thujone, 1,8-cineole, γ-muuroleneand β-caryophyllene. Mosquito larvicidal assays were carried out to test the efficacy of the oil against the dengue vector,Aedes aegypti. Laboratory reared third instar larvae were exposed to different concentrations of the oil solution and activitywas assessed at different exposure times according to standard WHO procedure. Results showed that 100% larval mortalitywas achieved when the larvae were treated with 500 ppm oil solution with an exposure time of 8 h. The present study hasshown that mugwort oil is a potential larvicide against Aedes aegypti even in low doses of the test solution. The resultsindicate that the natural insecticides could be used in the place of synthetic insecticides and save our environment fromchemical hazards.