The significant increase in the prices of raw materials has a huge impact on the rubber industry.

Since 2021, the prices of domestic bulk raw materials have been fluctuating at a high level throughout the year. The prices of rubber, carbon black, additives, cord fabric, steel, energy, etc. have remained high. Coupled with the significant increase in costs such as environmental protection, labor, and electricity consumption, the profits of major rubber product industries such as tires, hoses, and belts have declined. According to the statistics of key enterprises in the industry by the China Rubber Industry Association, although the selling prices of tire products have been continuously increased throughout the year, the industry's profits have been declining since the second half of the year. From January to March, the profit of the tire industry increased by 74.7% year - on - year, while from January to October, the profit decreased by 34.5% year - on - year, with a huge decline. The selling prices of hose and belt products did not increase simultaneously, and from January to October, the industry's profit decreased by 8.27% year - on - year. Compared with the first half of the year, the profit of the rubber product industry in the first three quarters decreased by 6.70%, and the profit margins of small and medium - sized enterprises were further narrowed. The price of tire molds has "decreased instead of increased" for many years, and the profit level has continued to decline.

However, at the same time, the profits of raw material industries such as carbon black, rubber additives, and framework materials have all increased significantly. Driven by the pandemic - affected economy, the profits of the cycle tire and latex industries have also increased, but the growth rate has narrowed. The profit of the rubber shoes industry has increased.