Divgi Project Mayflower Targets U.S. Manufacturing Expansion

Divgi Launches Project Mayflower for U.S. Manufacturing

Divgi Project Mayflower marks the company’s planned expansion into localized manufacturing in the United States, with a wholly owned subsidiary being established at the International Center for Automotive Research in Greenville, South Carolina. Under the initiative, Divgi TorqTransfer Systems Limited plans to develop a greenfield manufacturing facility to support North American OEM and Tier-1 customer requirements. The company has estimated an initial Phase 1 investment of approximately USD 5 million. The facility is intended to strengthen local manufacturing capability while supporting customer requirements that include local content mandates.

Production Target Set for Second Half of 2028

The planned U.S. facility is targeted to reach ground commissioning and start of production during the second half of calendar year 2028, with the period extending through December. The project is therefore positioned as a medium-term manufacturing expansion rather than an immediate capacity addition. Its location at the International Center for Automotive Research in Greenville, South Carolina, is intended to support access to the North American automotive ecosystem. The investment and facility development are focused on enabling Divgi to respond more directly to regional OEM and Tier-1 requirements, including those associated with BorgWarner.

North American Customer Requirements Drive Localization

The proposed greenfield facility is designed around the requirements of customers operating in the North American automotive supply chain. Divgi’s stated objective includes meeting local content mandates, making regional manufacturing an important part of the project’s strategic rationale. Establishing production capacity in the United States could allow the company to support customer programs with a localized supply base while reducing dependence on production from other regions. The approximately USD 5 million Phase 1 investment represents the initial commitment toward developing this manufacturing footprint and supporting future customer requirements.

Indonesia Transfer Case Order Execution Progresses

Alongside the U.S. expansion, Divgi is continuing execution of international transfer case orders. During Q1 FY 2027, ending June, the company dispatched approximately 30% of its 70,000-unit transfer case order for Tata Motors and Mahindra pickup platforms in Indonesia. Management indicated that execution of the order would continue through the fiscal year. More than 50% of the contract volume carries recurring potential, providing an additional opportunity for sustained order activity beyond the initial shipment schedule.

South Africa Shipments Planned for FY 2029

Divgi is also preparing for another international transfer case program involving Mahindra’s global pickup platform. Transfer case shipments to South Africa are scheduled to commence between April 2028 and March 2029, corresponding to FY 2029. The planned shipments add another overseas application to the company’s international order execution pipeline. Taken together with the Indonesia program and the Project Mayflower manufacturing initiative, these activities indicate continued expansion of Divgi’s international customer engagement and transfer case business across multiple automotive markets.

International Expansion Builds a Broader Manufacturing Footprint

Divgi’s latest initiatives combine near-term international order execution with a longer-term manufacturing localization strategy in North America. The Indonesia program provides ongoing transfer case shipments during FY 2027, while the South Africa program is scheduled to begin during FY 2029. At the same time, Project Mayflower establishes a planned U.S. manufacturing presence with Phase 1 investment of approximately USD 5 million and production targeted for the second half of 2028. The combined initiatives expand Divgi’s geographic reach while aligning manufacturing and supply capabilities with customer and local-content requirements.

Frequently Asked Questions

What is Project Mayflower announced by Divgi TorqTransfer Systems?
Project Mayflower is Divgi TorqTransfer Systems’ initiative to establish a wholly owned subsidiary and develop a greenfield manufacturing facility in South Carolina to serve North American automotive customers and meet local content requirements. The project will be located at the International Center for Automotive Research in Greenville, South Carolina. Divgi has estimated an initial Phase 1 investment of approximately USD 5 million. Ground commissioning and start of production are targeted for the second half of calendar year 2028, extending through December.

How much is Divgi planning to invest in the U.S. facility?
Divgi has estimated an initial Phase 1 investment of approximately USD 5 million for the planned U.S. manufacturing facility. The investment will support development of a greenfield production operation intended to address North American OEM and Tier-1 customer requirements, including local content mandates. The facility is being established through a wholly owned subsidiary at the International Center for Automotive Research in Greenville, South Carolina. Ground commissioning and start of production are targeted for the second half of calendar year 2028.