Washington County director of emergency management Pokey Harris said no fatalities had been reported yesterday.
The injuries ranged from critical to superficial, he said.
Three of the victims were flown by helicopters to regional hospitals. Another 12 to 15 were taken by ambulance. The rest were treated at the scene.
The status of the driver wasn't released. Multiple witnesses described him as an elderly man.
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It happened around 2:30 pm (local time) yesterday during the Hikers Parade at the Trail Days festival, an annual celebration of the Appalachian Trail in Damascus, near the Tennessee state line about a half-hour drive east of Bristol.
What caused the car to drive into the crowd wasn't immediately known. It appeared to come from a side street, and a thud could be heard. People yelled stop, and at some point, the car finally stopped.
Witnesses said the car had a handicapped parking sticker and it went more than 100 feet before coming to a stop.
Damascus resident Amanda Puckett, who was watching the parade with her children, ran to the car, where she and others lifted the car off those pinned underneath.
"Everybody just threw our hands up on the car and we just lifted the car up," she said.
Keith Neumann, a hiker from South Carolina, said he was part of the group that scrambled around the car. They pushed the car backward to free a woman trapped underneath and lifted it off the ground to make sure no one else was trapped.
"There's no single heroes. We're talking about a group effort of everybody jumping in," he said.
There were ambulances in the parade ahead of the hikers and paramedics on board immediately responded to the crash.