Tax dispute may take TRW car accessory production to Czech Republic

Citing disagreements with the tax authorities, US company TRW has suspended work on its Czestochowa factory, and is threatening to move production to the Czech Republic. TRW has already invested $11 million in the Czestochowa plant, which produces car seat belts and air bags, mainly for export. However, in the middle of last year the local tax authorities said they had found irregularities in the company's VAT returns, and demanded the payment of an additional zl.17 million. TRW appealed against the decision, but was still required to cover part of the dues. According to TRW director Krzysztof Szwedkowicz, a final decision on moving production to the Czech Republic will be taken after a meeting tomorrow between company representatives and Finance Ministry officials in Warsaw. (Rzeczpospolita, p. B4) P.W.