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Reasons why the issue is happening
There is a limit to how many local inventories a product can have. Remove local inventories in your inventory data for this product so that there are 10,000 or fewer; or request to raise your limit.
When you upload too many local inventories for the offer, the offer will not be served. To fix this issue, delete some existing local inventories from your offer or request a quota increase to increase your limit.
How to fix the issue
Go to Products in the Merchant Center, then select the Needs attention tab.
Use the filter icon
above the table to find all products affected by your issue.
Select the download icon
to download a list (.csv) of all affected products for all issues or this particular issue.
Filter the downloaded report so that you only view products with:
'Issue title' = Not submitted due to product limit.
Search your local inventory data for those products (using the ID) and make sure that you delete some of their existing inventory data so that the total amount of inventory is below the maximum limit.
You can also request an inventory quota increase.
Re-upload your corrected product data to Merchant Center using your chosen upload method.