There are claims that around 350 jobs may be at risk at Willerby Holiday Homes, one of the region's biggest caravan manufacturers.
Willerby is understood to have told local MPs that the move is "purely precautionary", "not definite" and will give the company "flexibility".
This follows the Chancellor's proposal to levy 20% VAT on static caravans from October.
Karl Turner, Labour MP for Hull East, has reacted to the possible redundancies.
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A lot of dry weather around over the next few days, but not wall-to-wall sunshine and temperatures average at best
Hull City must beat Manchester United today and hope Newcastle drop points against West Ham to avoid relegation from the Premier League
A dry day with bright or sunny spells. Light winds.