PK USA receives tax abatement on $15 million expansion for new production line

PK USA, Inc. is expanding in Shelbyville to prepare for a new production line for Volvo commercial vehicles.

On Monday at City Hall, the Shelbyville Common Council approved a 10-year tax abatement plan for the local company on a $15 million investment.

PK USA will construct a 13,000 square foot building expansion on its property at 600 Northridge Drive with the goal of having the new production line active in the third quarter of 2026.

The building expansion will cost approximately $3.4 million and more than $11 million will be spent for new manufacturing equipment.

PK USA currently employs more than 280 individuals. It is not yet known how many new hires will take place until the new production line is in place.

During discussion with the council, it was addressed that despite receiving several tax abatements over the years in the community, PK USA will pay nearly $800,000 combined in real estate property tax and personal property tax.

In other council business Monday:

• Approved an ordinance to prohibit parking for greater than two hours in the downtown
• Prohibit parking for greater than 24 hours in the parking garage at 25 W. Franklin St.
• Altered hours of operation of a golf cart to 5 a.m. to 10 p.m. on Sundays, Mondays, Tuesdays and Wednesday; and 5 a.m. to midnight on Thursdays, Fridays and Saturdays

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