Abstract: [Objective] To assess the factors that influence sheep production costs in Inner Mongolia. [Method] Using pertinent data from the ′National Collection of Cost-benefit Data for Agricultural Goods from the year of 2001 to 2019, a quantitative analysis on the sheep production costs in Inner Mongolia was performed. The regression analysis model was developed using EViews 7.0 software. In total, eight indexes including concentrate and feeding salt fees, forage fees, medical and epidemic prevention fees, breeding fees, death loss fees, grazing equipment fees, repair and maintenance fees, and indirect expenses, were used as explanatory variables to evaluate the effects of diverse production factors on sheep production costs. [Result] At the 5% significance level, the concentrate and feeding salt fees, forage fees, medical and epidemic prevention fees, breeding fees, and death loss fees had considerable （5%） impacts on the production costs of sheep. [Conclusion] The key contributing factors for increasing sheep production costs and lowering profitability include the elevated concentrate and feeding salt fees, forage fees, medical and epidemic prevention fees, breeding fees, and death loss fees.

Key words: Inner Mongolia, sheep, production costs, multiple linear regression model