Ce2O3 nanoparticle decorated CNT nanocomposites (Ce2O3.CNT NCs) were prepared by a wet-chemical method in basic medium. The Ce2O3.CNT NCs were examined using FTIR, UV/Vis, Field-Emission Scanning Electron Microscopy (FESEM), X-ray electron dispersive spectroscopy (XEDS), X-ray photoelectron spectroscopy (XPS), and powder X-ray diffraction (XRD). A selective 2-nitrophenol (2-NP) sensor was developed by fabricating a thin-layer of NCs onto a flat glassy carbon electrode (GCE, surface area = 0.0316 cm2). Higher sensitivity including linear dynamic range (LDR), long-term stability, and enhanced electrochemical performances towards 2-NP were achieved by a reliable current-voltage (I-V) method. The calibration curve was found linear (R2 = 0.9030) over a wide range of 2-NP concentration (100 pM ~ 100.0 mM). Limit of detection (LOD) and sensor sensitivity were calculated based on noise to signal ratio (~3N/S) as 60 ± 0.02 pM and 1.6×10−3 μAμM-1cm-2 respectively. The Ce2O3.CNT NCs synthesized by a wet-chemical process is an excellent way of establishing nanomaterial decorated carbon materials for chemical sensor development in favor of detecting hazardous compounds in health-care and environmental fields at broad-scales. Finally, the efficiency of the proposed chemical sensors can be applied and utilized in effectively for the selective detection of toxic 2-NP component in environmental real samples with acceptable and reasonable results.