The pet rubber toy industry currently has low concentration and intense market competition. Since 2025, leading companies have expanded their market shares through mergers and acquisitions of smaller brands and product line extensions. Major players such as Tianyuan Pet and Yiyi Co., Ltd. have taken action, with the former planning to acquire a controlling stake in Taotong Technology for 688 million yuan to address its online channel shortcomings, while the latter is exploring the acquisition of Gaoyejia to enter the pet food sector, achieving a "supplies + food" full-category layout. Such acquisitions not only consolidate market shares but also enhance the synergy of supply chains, distribution channels, and R&D resources, enabling leading companies to raise their gross profit margins by 9 percentage points above the industry average. Industry analysts point out that the next three years will be a critical period for industry consolidation. With the implementation of policies like the "Pet Supply Safety Technical Standards," rising compliance costs will accelerate the exit of small and medium-sized enterprises. The industry's CR5 is expected to rise to 58% by 2025. Companies with R&D capabilities and brand influence are likely to emerge as leaders, particularly in high-end segments such as eco-friendly rubber materials and smart interactive toys, where technological barriers will further consolidate the dominance of leading players, ultimately forming a "stronger makes stronger" market landscape. By 2028, 3-5 leading companies with annual revenues exceeding 2 billion yuan are expected to emerge.
