Dimethyl cyclobutane-1,2-dicarboxylate is primarily used as an intermediate in organic synthesis. It plays a significant role in the production of pharmaceuticals, where it serves as a building block for more complex molecules. Its cyclobutane ring structure is valuable in creating compounds with specific biological activities. Additionally, it is utilized in the development of agrochemicals, contributing to the synthesis of pesticides and herbicides. In material science, this compound aids in the creation of polymers and specialty chemicals, enhancing properties like stability and performance. Its versatility in various chemical reactions makes it a key component in research and industrial applications.