Cyclobutane-1,2-dicarboxylic acid is primarily used in organic synthesis as a building block for more complex molecules. Its unique cyclobutane ring structure makes it valuable in the development of pharmaceuticals, where it can be incorporated into drug candidates to influence their biological activity and stability. Additionally, it serves as a precursor in the production of specialty polymers and materials, contributing to the creation of novel compounds with specific mechanical or chemical properties. Its applications also extend to research in medicinal chemistry, where it is used to study ring strain and its effects on reactivity and molecular interactions.