* Fiat could offer to increase Italian production * Could shift Polish production to Italy plant * Italy govt to extend car incentives to 2010 MILAN, Dec 22 (Reuters) - Fiat may offer to raise car production in Italy 50 percent when it holds preliminary talks with the government on Tuesday, in return for tax breaks on some car sales and possible help in reducing labour costs. Fiat CEO Sergio Marchionne says Rome's target for over 900,000 cars to be produced in Italy is "not ...
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