Mercedes-Benz granted tax abatement to build logistics facility near Vance plant

Expansion to Mercedes-Benz facility

BIRMINGHAM, Ala. (WBRC) - The Tuscaloosa County Industrial Development Authority agreed to allow Mercedes to abate 10 years' worth of taxes for its next project in West Alabama.

Mercedes-Benz U.S. International won’t have to pay local ad valorem or sales and use taxes when building a logistics and parts storage facility near its plant in Vance. The parts are for electric cars. The company is still responsible for paying more than $1.5 million in education taxes for schools.

The logistics center will create more than 370 jobs.

“Yes, it is about jobs. Its about the capital investment. But its about a community partner to see and facilitate growth of our existing industries,” according to Danielle Winningham, Executive Director of TCIDA.

“The key is to get into those programs, like ready to work or modern manufacturing programs in Shelton State. There’s a lot of things you can go ahead and start that will allow you to get a leg up actually in these different programs, or will you a better opportunity for jobs once they come,” Donny Jones, President of West Alabama Works said.

The logistics facility is expected to be up and running in 2022.

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