Enzyme of the plastid non-mevalonate pathway for isoprenoid biosynthesis that catalyzes the NADP-dependent rearrangement and reduction of 1-deoxy-D-xylulose-5-phosphate (DXP) to 2-C-methyl-D-erythritol 4-phosphate (MEP). Required for chloroplast development. 2-C-methyl-D-erythritol 4-phosphate + NADP(+) = 1-deoxy-D-xylulose 5-phosphate + H(+) + NADPH Isoprenoid biosynthesis; isopentenyl diphosphate biosynthesis via DXP pathway; isopentenyl diphosphate from 1-deoxy-D-xylulose 5-phosphate: step 1/6. A number of isoforms are produced. According to EST sequences. Circadian-regulated with a peak in the late period of the light phase. Albino and dwarf phenotype. Plants over-expressing DXR show increased levels of plastid isoprenoids derived from the methylerythritol 4-phosphate (MEP) pathway, such as chlorophylls, carotenoids, and taxadiene. Belongs to the DXR family.