Mahindra South Africa Opens Advanced Vehicle Assembly Plant in Durban

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Image Courtesy: Mahindra South Africa

Mahindra South Africa, the local arm of Indian automotive major Mahindra & Mahindra, has inaugurated a new state-of-the-art vehicle assembly facility at the Dube TradePort Special Economic Zone (SEZ) in KwaZulu-Natal. The investment marks a significant expansion of the company’s production capabilities in the region.

Situated close to Mahindra’s first Durban assembly site established in 2018, the new facility has been built to global manufacturing benchmarks. It features advanced quality control systems, extended production lines, and dedicated customisation zones tailored to South African customers. The company said the demand for its pickup vehicles, widely known as “bakkies,” has made in-house customisation a strong differentiator in the market.

“With the growing popularity of our locally assembled pickups, we needed a facility that offered both scale and flexibility to keep pace with future demand while maintaining world-class standards,” said Rajesh Gupta, CEO of Mahindra South Africa. Gupta described South Africa as Mahindra’s “second home outside India,” underscoring its importance to the brand’s global growth strategy.

The Durban plant has the capacity to assemble over 1,000 single- and double-cab pickups per month, with provisions for further expansion. It is also equipped to integrate new models in the coming years and increase the proportion of locally sourced components. Mahindra’s global engineering teams are working with South African suppliers to boost localisation, further contributing to industrial growth in the country.

Earlier this year, Mahindra partnered with the Industrial Development Corporation (IDC) to conduct a feasibility study for a full-scale manufacturing plant in South Africa. Insights from the new facility are expected to shape this initiative. “This investment demonstrates our confidence in South Africa as a manufacturing hub and a key market,” Gupta said. Sachin Arolkar, Head of International Operations at Mahindra & Mahindra Ltd., added that South Africa remains “a cornerstone market” in the company’s international expansion plans.

Mahindra’s local partner, AIH Logistics, hailed the new facility as a landmark achievement. “Our collaboration with Mahindra since 2018 has created the largest semi-knocked-down automotive facility in South Africa. It highlights the synergy between global expertise and local capability, while supporting jobs and skills development,” said Dr Dempsey Naidoo, Chairman of AIH Logistics.

Since producing its first locally assembled bakkie in 2018, Mahindra has become one of the top 10 best-selling vehicle brands in South Africa. According to industry body Naamsa, Mahindra ranks among the three fastest-growing brands over the past seven years. In the most recent financial year (April 2024–March 2025), it was the fastest-growing brand overall, maintaining its momentum into 2025 despite growing competition from Chinese automakers. To date, Mahindra South Africa has sold over 100,000 vehicles in the country.

Mahindra South Africa is a prominent subsidiary of the Indian multinational conglomerate Mahindra & Mahindra, which has established itself as a key player in the South African automotive and agricultural industries. With a focus on providing reliable and affordable vehicles, Mahindra South Africa offers a wide range of products, including SUVs, bakkies (pickup trucks), and tractors. The company aims to meet the diverse needs of the South African market, from personal transport to farming solutions, all while promoting sustainability and innovation. Through its robust dealer network and customer service, Mahindra South Africa has gained significant market share, contributing to the country’s economic growth while offering high-quality, value-driven vehicles tailored to local preferences.