A goal from in-form James Constable in the fourth minute of injury time kept alive Oxford's play-off hopes and all but ended Wrexham's slim chances.
Wrexham made a bright start before the Us began to find their rhythm as Constable and Chris Wilmott went close.
Wrexham keeper Gunnar Neilsen went off with a broken scaphoid, outfield player Ashley Westwood taking over in goal.
Deep into injury time Craig Nelthorpe crossed from the left and Constable was on hand to head a dramatic winner.
The victory extends Oxford's unbeaten run to nine games.
Oxford Utd: Turley, Batt, Willmott (Nelthorpe 77), Foster, Sandwith, Odubade (Farrell 59), Chapman, Clist, Haldane, Murray, Constable. Subs Not Used: Hinchliffe, Carruthers, Hutchinson.
Booked: Murray, Constable.
Goals: Constable 90.
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Wrexham: Neilsen (Collin 79), Curtis, Westwood, Assoumani, Mike Williams, Spann, Fleming, Crofts, Williamson (Taylor 63), Louis (Anoruo 64), Flynn. Subs Not Used: Baynes, Fairhurst.
Booked: Flynn.
Att: 5,832
Ref: R Merchant (Staffordshire).
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