Dana Inc. broke ground April 5 on a new gear manufacturing facility in Győr, Hungary, intended to support new vehicle programs in Europe.

The Maumee, Ohio-based component maker said the facility will provide 140,000 square feet of state-of-the-art production space “to support the sourcing initiatives and technology strategies” of customers in the region.

Dana said it is investing approximately €46 million (about $49 million) in the new facility, which is slated to begin production in early 2018. Once the plant reaches full production in 2020, it will some 200 workers.

The plant will produce Spicer AdvanTEK hypoid or spiral bevel ring and pinion gear sets.  Dana manufactures gears for traditional banjo and beam axles as well as all-wheel-drive systems.  The company noted that full axle assembly on the site is “possible in the future. “

Dana said the facility will be its fourth operation in Hungary.  The company said the decision to develop another plant within the country was “made possible” by the Hungarian Investment Promotion Agency, which awarded Dana development grants and tax incentives.