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South Pacific takes place during World War II on an island in the South Pacific where a detachment of sailors and marines is stationed. For some time past the Japanese have been making devastating raids upon the adjacent islands. The Americans, because of inadequate warning of the enemy's approach, have been unable to repel them.

A young marine lieutenant, Joe Cable, is sent from Headquarters to set up an observation post on an outlying island so he can warn the camp by radio when the Japanese are coming. In order to carry out this assignment, he enlists the aid of a wealthy French planter, Emile de Becque, because of his familiarity with the island. De Becque has fallen in love with a navy nurse, Ensign Nellie Forbush, and he is unwilling to leave.

Cable, unable to find anyone else, waits around intrigued by the mysterious island, Bali Ha'i, Cable is persuaded to visit it by a sailor named Luther Billis. Bloody Mary, a shrewd native greets him and takes him to her daughter, Liat, a beautiful girl of seventeen.

Nellie finds out about Emile's two children and decides not to marry him. Emile chooses to go with Cable on the mission. After a few days, Emile radios a sad message -- his friend, Cable, has died of woulds suffered during an attack.

The chances that De Bacque has survived are slim, and Nellie realizes how much she loves him. In her grief and loneliness she devotes herself to his children.

Meanwhile, the efforts of De Becque have been fruitful. Much to Nellie's surprise, Emile returns home to those who love him.