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Onehunga's southwestern side, near the Manukau Harbour, lost its direct waterfront access when the Southwest Motorway was built there in the 1970s. Only a tidal lagoon remains on the city side, though in 2008, there were proposals that the motorway (which was to be widened) could be sunk into a trench to provide direct access to the harbour again. In 2013, a project was underway to restore the Onehunga foreshore, to be connected to the city side park by a pedestrian and cycle bridge over State Highway 20. A substantial aquifer flows underground beneath Onehunga, fed by rainwater soaking through the lava flows around Maungakiekie / One Tree Hill. Up to 21 million litres of potable water a day is pumped from the Onehunga aquifer and treated in a local plant before being supplied to Onehunga as part of the Auckland water supply network. While most of Auckland's potable water comes from reservoirs in the Hunua and Waitākere Ranges, or from the Waikato River, the Onehunga aquifer provides around 5%. In contrast, while the isthmus's other major aquifer, the Western Springs aquifer, is also fed by water seeping through lava fields, it is no longer used as a source of potable water.

The name Onehunga is from the Māori language and means a "beach composed of mixed sand and mud" or "alluvial soil", according to Williams's Dictionary of the Maori Language. Claims have been made for other names and meanings. Ethnographer George Graham was told by one Māori informant that the name was Ōnehunga, with the etymology of ō (the place of) nehunga (burial), but Graham said that was later contradicted. He said that the name was actually Oneunga (Oneūnga in modern orthography), meaning one (beach or sand) ūnga (landing), in reference to canoes being drawn up there. He also said that Onehunga meant "friable" or "pulverous soil" and that this was "a very correct name". The New Zealand Geographic Board approved Onehunga as the official name in 2019.

Onehunga was close to one of the richest areas of the Auckland isthmus, and saw many battles between Māori groups in pre European times. In the late 1830s, before Europeans arrived in larger numbers in the area, it was the main settlement for Ngāti Whātua, who had moved back to the northern shore of the Manukau Harbour after retreating to the Waikato during the Musket Wars. and the Fencibles arrived in 1847. European settlement of the Manukau Harbour area was begun from and long focused on Onehunga. When the New Zealand Wars later occurred, it was mostly fought with regular soldiers rather than Fencibles. Naval volunteers based at Onehunga raided Māori territories on the south side of the harbour during the wars. During the 19th century most shipping between New Zealand and Great Britain came to Onehunga, via South Africa and Australia. While some shipping entered the Waitematā Harbour and docked at Auckland, much of it entered the Manukau Heads and docked at Onehunga, thus saving several days sailing around North Cape. In 1909 a typical coastal freight connection was a steamer from Onehunga to locations such as Raglan, Kawhia and Waitara. Onehunga was the Northern Steamship's base for serving the west coast, including also Āwhitu, Hokianga and Waiuku. By the First World War Onehunga was no longer an important commercial port, this was partly because of a general increase in the size of ships, which meant the Waitematā Harbour was favoured especially as it was wider and deeper. More significant however was the completion of the North Island Main Trunk railway in 1908 – this effectively made the coastal passenger and freight steamship trade on both coasts of the country largely unprofitable. The port does still serve coastal traders and some local fishing, there is also a cement and sand company which maintains facilities at Onehunga. In 1874, the town of Onehunga had 2,044 inhabitants, compared with Wellington's 10,547, reflecting the importance of the smaller port towns during an age when New Zealand was booming, but internal transport links were still rudimentary. In 1876, Onehunga was declared a borough with a mayor and 16 councillors. It operated until around 1895. The ironworks was located opposite the original Onehunga railway station. From 1885, the town became known for its wool industry (several firms maintained factories here including one which produced blankets). This weaving industry saved the area from more serious decline when the shipping trade reduced after 1908. As the centre of the Auckland isthmus became covered by suburban developments the Onehunga foreshore became an attraction for families from Mount Eden, Epsom and One Tree Hill. The beach at Onehunga became popular after the electric tram route was completed in 1906 and the Tea Rooms situated at the tram terminus, overlooking the harbour were an attraction in their own right. After the Municipal Abattoir was relocated from Freeman's Bay to Westfield and Southdown, Onehunga started to suffer from the toxic discharges the freezing works pumped into the harbour.

While in 1891 Onehunga was one of the "25 most populous urban areas/towns of New Zealand", with about 5,000 inhabitants, by the First World War it had ceased to be a port of importance. It gained a new role as a shopping and service centre as it was engulfed by the suburban development of Auckland, and was amalgamated with Auckland City in 1989. Onehunga had for a short time Auckland's first zoo. However, the zoological garden that John James Boyd created near today's Royal Oak did not meet with local approval – mainly due to concerns about the smells and crowds. Eleven years after its November 1911 opening, the animals were bought and transferred to the new Auckland Zoo at Western Springs. Although the area was a predominantly working class suburb for much of the 20th century, it has undergone some gentrification since the 1990s. In recent times, many of the bungalows of the 1920s (along with the earlier villas) have undergone restoration and Dress Smart has reinvigorated commerce in the area. Secondary schools located conveniently are Onehunga High School, One Tree Hill College and Marcellin College. Some boys also attend St Peter's College. The hit TV show Back of the Y was filmed in 'Auckland's beautiful Onehunga'.

Onehunga had its own local government authority, Onehunga Borough Council, which started in 1877. It merged into Auckland City Council in 1989. All of Auckland's councils amalgamated into Auckland Council in November 2010.

Onehunga comprises four statistical areas. Onehunga West, North and Central are primarily residential/commercial. Onehunga Te Papapa Industrial is primarily industrial. +Individual statistical areas in 2018Name Area(km2) Population Density(per km2) Households Median age Medianincome Onehunga West 1.13 3,855 3,412 1,305 36.0 years $42,000 Onehunga North 0.77 3,798 4,932 1,332 34.4 years $39,900 Onehunga Central 0.86 3,249 3,778 1,272 36.8 years $39,100 Onehunga Te Papapa Industrial 2.94 870 296 369 36.0 years $38,300 New Zealand 37.4 years $31,800

Onehunga's shore is heavily modified by human use. The old volcanic basin that used to link to the Manukau Harbour was filled in, with shorelines reclaimed and straightened for human use (Port of Onehunga, industrial uses and sports fields). The New Zealand State Highway 20 extension further disrupted Onehunga's connection to the shore in the 1970s. In mid 2011, the plans for the restoration works were clarified further, and provided for public comment, setting out a reclamation area with sanded beaches, new green open space and several new headlands. The area is to receive a new boat ramp, and walk and cycleways including a new walking and cycling bridge over the motorway to Onehunga. Construction has started on 19 November 2012. The newly named Taumanu Reserve was officially opened to the public on 14 November 2015, in an event attended by over a thousand people.

Onehunga Line rail services carry passengers between Onehunga railway station and central Auckland's Britomart Transport Centre along the Onehunga Branch line to a junction with the main line at Penrose station. The Campaign for Better Transport campaigned to have the line extended south from Onehunga across the SH20 Manukau Harbour second crossing bridge to Auckland Airport. Former Auckland Mayor Len Brown also campaigned for this Auckland Airport Line, though it will likely only be developed after the City Rail Link is completed. Electric services began running between Britomart and Onehunga on 28 April 2014. Queen St, named after Queen Victoria, led onto the 1920s Māngere Bridge and thence to the suburb of the same name. This was one of the main land routes south out of Auckland and the usual route to the airport until the motorway and regional road system in the 1970s diverted the through traffic away from the Onehunga and Mangere Bridge. In 1973, Queen St was closed to through traffic, and on 2 April 1973 was renamed Onehunga Mall and reopened as a pedestrian shopping precinct. In 1996, Onehunga Mall was reopened to traffic. Until 1956, a tram line ran all the way from the Auckland CBD to Onehunga. keeping through traffic on the main roads. It adds temporary traffic filtering and interim pocket parks to a residential area of Onehunga, in order to redirect traffic to the arterials, and create quieter local streets. The trial was stopped in May 2021 after serious concerns to public safety after vandalism and disruption at the project site from local residents who felt the disruption to traffic was intolerable.

Dress Smart Auckland opened in Onehunga in 1995, and expanded in 2005. It now covers an area of 13,217 m², with up to 101 tenancies and 735 carparks. Onehunga Primary School is a contributing primary school (years 1–6) with a roll of students. St Joseph's Catholic School is a state integrated full primary school (years 1–8) with a roll of students. Golden Grove School is a private Montessori full primary school (years 1–8) with a roll of students. All these schools are coeducational. Rolls are as of

Onehunga is home to Onehunga Sports who compete in the Lotto Sport Italia NRFL Premier. Waikaraka Park Speedway is a motorcycle speedway venue in Waikaraka Park, on 175 243 Neilson Street. The venue has hosted important events, including the North Island final round of the Speedway World Championship in 1992.