Azetidine-3-carboxylic acid hydrochloride is primarily used in organic synthesis and pharmaceutical research. It serves as a valuable building block for the development of various bioactive compounds, including peptides and peptidomimetics. Its unique structure allows it to mimic natural amino acids, making it useful in designing drugs that target specific biological pathways. Additionally, it is employed in the study of enzyme inhibitors and receptor modulators, contributing to advancements in medicinal chemistry. Its applications also extend to material science, where it is used to modify polymers and create specialized materials with enhanced properties.