diff --git a/tests/ProgressIndicator.test.svelte b/tests/ProgressIndicator.test.svelte
deleted file mode 100644
index 0f1e5cc7..00000000
--- a/tests/ProgressIndicator.test.svelte
+++ /dev/null
@@ -1,83 +0,0 @@
-<script lang="ts">
-  import {
-    ProgressIndicator,
-    ProgressStep,
-    ProgressIndicatorSkeleton,
-  } from "carbon-components-svelte";
-</script>
-
-<ProgressIndicator currentIndex={2}>
-  <ProgressStep
-    complete
-    label="Step 1"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    complete
-    label="Step 2"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    complete
-    label="Step 3"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    label="Step 4"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-</ProgressIndicator>
-
-<ProgressIndicator preventChangeOnClick currentIndex={2}>
-  <ProgressStep
-    complete
-    label="Step 1"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    complete
-    label="Step 2"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    complete
-    label="Step 3"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    label="Step 4"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-</ProgressIndicator>
-
-<ProgressIndicator spaceEqually>
-  <ProgressStep
-    label="Really long label"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    label="Really long label"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    label="Really long label"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-</ProgressIndicator>
-
-<ProgressIndicator vertical>
-  <ProgressStep
-    label="Really long label"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    label="Really long label"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-  <ProgressStep
-    label="Really long label"
-    description="The progress indicator will listen for clicks on the steps"
-  />
-</ProgressIndicator>
-
-<ProgressIndicatorSkeleton count={3} />
diff --git a/tests/ProgressIndicator/ProgressIndicator.test.svelte b/tests/ProgressIndicator/ProgressIndicator.test.svelte
new file mode 100644
index 00000000..4f8a4d06
--- /dev/null
+++ b/tests/ProgressIndicator/ProgressIndicator.test.svelte
@@ -0,0 +1,35 @@
+<script lang="ts">
+  import { ProgressIndicator, ProgressStep } from "carbon-components-svelte";
+
+  export let currentIndex = 0;
+  export let vertical = false;
+  export let spaceEqually = false;
+  export let preventChangeOnClick = false;
+  export let steps: Array<{
+    label: string;
+    description: string;
+    complete: boolean;
+    invalid?: boolean;
+    disabled?: boolean;
+  }> = [];
+</script>
+
+<ProgressIndicator
+  {currentIndex}
+  {vertical}
+  {spaceEqually}
+  {preventChangeOnClick}
+  on:change={(e) => {
+    console.log("change", e.detail);
+  }}
+>
+  {#each steps as step}
+    <ProgressStep
+      label={step.label}
+      description={step.description}
+      complete={step.complete}
+      invalid={step.invalid}
+      disabled={step.disabled}
+    />
+  {/each}
+</ProgressIndicator>
diff --git a/tests/ProgressIndicator/ProgressIndicator.test.ts b/tests/ProgressIndicator/ProgressIndicator.test.ts
new file mode 100644
index 00000000..649d37cb
--- /dev/null
+++ b/tests/ProgressIndicator/ProgressIndicator.test.ts
@@ -0,0 +1,247 @@
+import { render, screen } from "@testing-library/svelte";
+import ProgressIndicator from "./ProgressIndicator.test.svelte";
+import { user } from "../setup-tests";
+
+describe("ProgressIndicator", () => {
+  describe("Default (horizontal)", () => {
+    it("should render steps with correct states", () => {
+      render(ProgressIndicator, {
+        currentIndex: 2,
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          { label: "Step 2", description: "Second step", complete: true },
+          { label: "Step 3", description: "Third step", complete: true },
+          { label: "Step 4", description: "Fourth step", complete: false },
+        ],
+      });
+
+      const listItems = screen.getAllByRole("listitem");
+
+      // Check if all steps are rendered
+      expect(listItems).toHaveLength(4);
+
+      // Check completed steps
+      const completedSteps = listItems.filter((step) =>
+        step.classList.contains("bx--progress-step--complete"),
+      );
+      expect(completedSteps).toHaveLength(3);
+
+      // Check current step
+      expect(listItems[2]).toHaveTextContent("Step 3");
+
+      // Check incomplete step
+      const incompleteStep = screen.getByText("Step 4");
+      expect(incompleteStep).toBeInTheDocument();
+      expect(incompleteStep.closest("li")).not.toHaveClass(
+        "bx--progress-step--complete",
+      );
+    });
+
+    it("should update currentIndex when clicking on completed steps", async () => {
+      const consoleLog = vi.spyOn(console, "log");
+      render(ProgressIndicator, {
+        currentIndex: 2,
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          { label: "Step 2", description: "Second step", complete: true },
+          { label: "Step 3", description: "Third step", complete: true },
+          { label: "Step 4", description: "Fourth step", complete: false },
+        ],
+      });
+
+      expect(consoleLog).not.toHaveBeenCalled();
+
+      // Click on a completed step
+      await user.click(screen.getByText("Step 1"));
+      expect(consoleLog).toHaveBeenCalledWith("change", 0);
+    });
+
+    it("should not update currentIndex when preventChangeOnClick is true", async () => {
+      const { component } = render(ProgressIndicator, {
+        currentIndex: 2,
+        preventChangeOnClick: true,
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          { label: "Step 2", description: "Second step", complete: true },
+          { label: "Step 3", description: "Third step", complete: true },
+          { label: "Step 4", description: "Fourth step", complete: false },
+        ],
+      });
+
+      const changeHandler = vi.fn();
+      component.$on("change", changeHandler);
+
+      // Click on a completed step
+      await user.click(screen.getByText("Step 1"));
+      expect(changeHandler).not.toHaveBeenCalled();
+    });
+  });
+
+  describe("Invalid and disabled states", () => {
+    it("should render invalid step", () => {
+      render(ProgressIndicator, {
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          {
+            label: "Step 2",
+            description: "Second step",
+            complete: false,
+            invalid: true,
+            disabled: false,
+          },
+          { label: "Step 3", description: "Third step", complete: false },
+        ],
+      });
+
+      const invalidStep = screen.getByText("Step 2").closest("li");
+      expect(invalidStep).toHaveClass("bx--progress-step--incomplete");
+    });
+
+    it("should render disabled steps", () => {
+      render(ProgressIndicator, {
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          {
+            label: "Step 2",
+            description: "Second step",
+            complete: false,
+            invalid: false,
+            disabled: true,
+          },
+          {
+            label: "Step 3",
+            description: "Third step",
+            complete: false,
+            invalid: false,
+            disabled: true,
+          },
+        ],
+      });
+
+      const disabledSteps = screen.getAllByRole("listitem").slice(1);
+      disabledSteps.forEach((step) => {
+        expect(step).toHaveClass("bx--progress-step--disabled");
+      });
+    });
+  });
+
+  describe("Variants", () => {
+    it("should render vertical variant", () => {
+      render(ProgressIndicator, {
+        vertical: true,
+        steps: [
+          { label: "Step 1", description: "First step", complete: false },
+          { label: "Step 2", description: "Second step", complete: false },
+          { label: "Step 3", description: "Third step", complete: false },
+        ],
+      });
+
+      const progressIndicator = screen.getByRole("list");
+      expect(progressIndicator).toHaveClass("bx--progress--vertical");
+    });
+
+    it("should render with equal spacing", () => {
+      render(ProgressIndicator, {
+        spaceEqually: true,
+        steps: [
+          { label: "Step 1", description: "First step", complete: false },
+          { label: "Step 2", description: "Second step", complete: false },
+          { label: "Step 3", description: "Third step", complete: false },
+        ],
+      });
+
+      const progressIndicator = screen.getByRole("list");
+      expect(progressIndicator).toHaveClass("bx--progress--space-equal");
+    });
+
+    it("should not apply equal spacing in vertical variant", () => {
+      render(ProgressIndicator, {
+        vertical: true,
+        spaceEqually: true,
+        steps: [
+          { label: "Step 1", description: "First step", complete: false },
+          { label: "Step 2", description: "Second step", complete: false },
+          { label: "Step 3", description: "Third step", complete: false },
+        ],
+      });
+
+      const progressIndicator = screen.getByRole("list");
+      expect(progressIndicator).not.toHaveClass("bx--progress--space-equal");
+    });
+  });
+
+  describe("Accessibility", () => {
+    it("should have correct button attributes for different states", () => {
+      render(ProgressIndicator, {
+        currentIndex: 1,
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          { label: "Step 2", description: "Second step", complete: false },
+          { label: "Step 3", description: "Third step", complete: false },
+        ],
+      });
+
+      const buttons = screen.getAllByRole("button");
+
+      // Complete step button should be clickable
+      expect(buttons[0]).toHaveAttribute("tabindex", "0");
+      expect(buttons[0]).toHaveAttribute("aria-disabled", "false");
+      expect(buttons[0]).not.toHaveClass(
+        "bx--progress-step-button--unclickable",
+      );
+
+      // Current step button should be unclickable
+      expect(buttons[1]).toHaveAttribute("tabindex", "-1");
+      expect(buttons[1]).toHaveAttribute("aria-disabled", "false");
+      expect(buttons[1]).toHaveClass("bx--progress-step-button--unclickable");
+
+      // Incomplete step button should be unclickable
+      expect(buttons[2]).toHaveAttribute("tabindex", "0");
+      expect(buttons[2]).toHaveAttribute("aria-disabled", "false");
+      expect(buttons[2]).not.toHaveClass(
+        "bx--progress-step-button--unclickable",
+      );
+    });
+
+    it("should have correct button attributes for disabled state", () => {
+      render(ProgressIndicator, {
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          {
+            label: "Step 2",
+            description: "Second step",
+            complete: false,
+            disabled: true,
+          },
+        ],
+      });
+
+      const disabledButton = screen.getAllByRole("button")[1];
+      expect(disabledButton).toHaveAttribute("disabled");
+      expect(disabledButton).toHaveAttribute("aria-disabled", "true");
+      expect(disabledButton).toHaveAttribute("tabindex", "-1");
+    });
+
+    it("should support keyboard navigation for complete steps", async () => {
+      const consoleLog = vi.spyOn(console, "log");
+      render(ProgressIndicator, {
+        currentIndex: 1,
+        steps: [
+          { label: "Step 1", description: "First step", complete: true },
+          { label: "Step 2", description: "Second step", complete: false },
+        ],
+      });
+
+      expect(consoleLog).not.toHaveBeenCalled();
+      const completeStepButton = screen.getAllByRole("button")[0];
+      await user.tab();
+      expect(completeStepButton).toHaveFocus();
+
+      await user.keyboard("{Enter}");
+      expect(consoleLog).toHaveBeenCalledWith("change", 0);
+
+      await user.keyboard(" ");
+      expect(consoleLog).toHaveBeenCalledWith("change", 0);
+    });
+  });
+});