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Ala. County Approves Tax Abatement For Mercedes

Tuscaloosa, AL – The Tuscaloosa County Industrial Development Authority board has approved $12.5 million in property tax abatements over 20 years and a site preparation grant of $150,000 for a Mercedes-Benz plant expansion project.

The company plans a $289.1 million expansion at its auto assembly complex in Vance to accommodate production of its C-Class sedan.

The next-generation of the C-Class will be produced in Vance starting in 2014.

Mercedes announced the project two years ago. Matt Kendrick, general counsel for Mercedes-Benz U.S. International, the Vance-based division of German auto maker Daimler AG, says the company is ready for work to begin.

The authority grants tax abatements to manufacturers whose projects increase manufacturing jobs. The expansion is expected to be completed in 2014. Mercedes says it will create about 1,000 new auto production jobs.

(Copyright 2011 by The Associated Press. All Rights Reserved.)

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