Qingdao, a major production base of hand trolleys, has been hit by a United States Department of Commerce determination that China has been dumping the product on the US market.
The US International Trade Commission will make the final decision on November 22 whether to impose anti-dumping tariffs on Chinese hand trolley exporters.
Most major Chinese exporters of the product are based in Qingdao. The city accounted for half of the mainland's output, said Liu Zhijun, a general manager of Qingdao Huatian Hand Truck, which faces a proposed anti-dumping tariff of 45.04 per cent.
'We cannot export to the US with such a penalty. We regard this as unfair,' Mr Liu said.
Qingdao Huatian had received an order from US retail giant Wal-Mart but now could not fulfil it due to the possibility of anti-dumping measures, he said.
Although the US accounted for a small portion of Qingdao Huatian's annual revenue of 500 million yuan, implementing the anti-dumping tariffs would cause the firm to 'throw away a big market', he added.