The town's economy includes several industrial facilities producing coke, chemicals, biochemicals, toys and power. An industrial base was built in Gubakha during World War II. Equipment from an evacuated nitrogen fertilizer plant was moved to Gubakha. Later, German reparations were used to increase the capital equipment in Gubakha. The plant was officially recognized as operational in 1955. During 1957 the plant may have been one of the first in Russia to operate a gas coke oven. In 1964 the plant began producing Methyl(ethyl)amines which are necessary for rocket fuel.