Indian automotive manufacturer Mahindra has unveiled a state-of-the-art vehicle assembly facility at the Dube TradePort Special Economic Zone in KwaZulu-Natal, South Africa. This new development marks a significant milestone for the company as it celebrates 30 years of operations in the country.
Enhanced Production Capacity
The new assembly plant, located near Mahindra’s original semi-knocked-down automotive facility established in 2018, represents a major leap in capacity and technology. The facility has the capability to assemble over 1,000 Pik Up single and double cab models each month, with room to scale production further as demand rises. Additionally, it is designed to accommodate new vehicle models that the company plans to introduce in the future.
"Our original facility played a pivotal role in establishing our local footprint", said Rajesh Gupta, CEO of Mahindra South Africa. "As demand for our locally assembled Pik Up range continued to rise, we needed a facility with the scale, flexibility, and technology to meet future growth while maintaining world-class quality."
Supporting Local Industry Development
This expansion aligns with Mahindra’s broader efforts to support South Africa’s industrial development. The company’s global engineering teams are actively collaborating with local suppliers to identify opportunities for greater localization, increasing the use of locally sourced components in their vehicles.
According to Gupta, "This investment underscores our confidence in South Africa as both a manufacturing base and a key growth market for Mahindra globally. It also reflects our commitment to creating jobs and supporting local industry."
Pathway to Full-Scale Manufacturing
Earlier this year, Mahindra partnered with the Industrial Development Corporation (IDC) to conduct a feasibility study for the establishment of a full-scale manufacturing plant in South Africa. The outcomes from operations at the new Durban facility will play a crucial role in shaping the next steps for this initiative.
Sachin Arolkar, Head of International Operations at Mahindra & Mahindra Ltd, emphasized the strategic importance of South Africa in the company’s global plans. "South Africa is a cornerstone market in Mahindra’s international growth strategy. This new facility not only strengthens our ability to serve local customers but also enhances our regional manufacturing capabilities. It is a clear demonstration of our long-term commitment to invest in Africa and to make South Africa a central hub in our global operations."
Foundation for Sustained Growth
Mahindra’s investment in this advanced facility further solidifies its competitiveness in the South African bakkie market, one of the most dynamic globally. As Gupta noted, "The new assembly facility strengthens the brand’s ability to compete in one of the most dynamic bakkie markets in the world, while laying the foundation for sustained growth in its third decade in the country."
With this milestone, Mahindra cements its role as a key player in South Africa’s automotive landscape, building upon its three decades of success and setting the stage for future innovations.
