N,N-Dibutyl-2-hydroxypropanamide is primarily used as a chemical intermediate in the synthesis of various organic compounds. Its application is significant in the production of specialty chemicals, particularly in the development of plasticizers and stabilizers for polymers. The compound's structure allows it to act as a modifier in polymer formulations, enhancing flexibility and durability in materials such as PVC. Additionally, it finds use in the creation of surfactants and emulsifiers, which are essential in industries like cosmetics, personal care, and agrochemicals. Its role in these applications stems from its ability to improve solubility and stability in formulations.