Report Highlights
The Global Electric Bus Market Expected to Reach $65.10 Billion by 2034
Introduction to the Electric Bus Market
The electric bus market has been rapidly gaining traction worldwide as urban areas seek sustainable and efficient transportation solutions. Electric buses, powered by electricity rather than traditional fossil fuels, offer numerous benefits, including reduced greenhouse gas emissions, lower operational costs, and quieter operation. These advantages make electric buses an attractive option for public transportation systems aiming to enhance environmental sustainability and improve urban air quality. In an optimistic forecast, the market, valued at $15.90 billion in 2024, is projected to grow at a CAGR of 15.14%, reaching $65.10 billion by 2034.
One of the key drivers behind the growth of the electric bus market has been the increasing implementation of stringent environmental regulations by governments globally. For instance, the European Union's Clean Vehicle Directive mandates that a certain percentage of new buses purchased by public authorities must be low-emission or zero-emission vehicles, including electric buses. Similarly, in the U.S., the Federal Transit Administration's (FTA) Low or No Emission Vehicle Program provides funding to transit agencies to purchase electric buses and supporting infrastructure. According to the FTA, over $180 million was allocated in 2020 alone to support the adoption of low-emission buses across the country. These initiatives are propelling the transition from diesel-powered buses to electric ones by providing financial incentives and regulatory support.
The market is also witnessing substantial investments in charging infrastructure, which is crucial for the widespread deployment of electric buses. The Chinese government, for example, has been at the forefront of this effort, with the Ministry of Transport aiming to install over 600,000 charging stations by 2025 to support its rapidly growing electric bus fleet. In Europe, the European Investment Bank (EIB) has provided significant loans to cities such as Paris and Amsterdam to develop extensive charging networks for electric buses.
Moreover, the electric bus market has been characterized by innovation and technological advancements. Manufacturers are continually enhancing the design and performance of electric buses, focusing on aspects such as battery longevity, energy efficiency, and passenger comfort. The introduction of autonomous driving features and smart grid integration are also shaping the future of the market. For example, the California Air Resources Board (CARB) has set a target for all public transit agencies in California to transition to 100% zero-emission buses by 2040, encouraging technological innovation in the sector. As cities around the world continue to prioritize sustainable urban mobility, the electric bus market is poised for significant expansion, playing a pivotal role in the transformation of public transportation systems.
Market Segmentation
Segmentation 1: by Type
- City/Transit Buses
- Coaches
- Midibus
- School Bus
- Others
Segmentation 2: by Propulsion
- Battery Electric Vehicles (BEVs)
- Fuel Cell Electric Vehicles (FCEVs)
- Others
Segmentation 3: by Battery Type
- Lithium-ion Batteries
- Lithium Iron Phosphate Batteries (LFP)
- Lithium Nickel Manganese Cobalt Oxide Batteries (NMC)
- Lithium Nickel Cobalt Aluminum Oxide Batteries (NCA)
- Others
Segmentation 4: by Length of Bus
- Upto 9 m
- 10-14 m
- Above 14 m
Segmentation 5: by Seating Capacity
- Upto 40 Seats
- 41-70 Seats
- Above 70 Seats
Segmentation 6: by Level of Autonomy
- Semi-Autonomous
- Autonomous
Segmentation 7: by Range
- Upto 200 Miles
- Above 200 Miles
Segmentation 8: by Battery Capacity
- Upto 400 kWh
- Above 400 kWh
Segmentation 9: by Power Output
- Upto 250 Kw
- Above 250 Kw
Segmentation 10: by Charging Type
- Plug-in Charging
- Inductive Charging
- Overhead Charging
- In-Depot Charging
Segmentation 11: by Region
- North America
- Europe
- Asia-Pacific
- Rest-of-the-World
How Can This Report Add Value to an Organization?
Product/Innovation Strategy: The global electric bus market has been extensively segmented based on various categories, such as type, propulsion, battery type, length of bus, seating capacity, level of autonomy, range, battery capacity, power output, and charging type. This can help readers get a clear overview of which segments account for the largest share and which ones are well-positioned to grow in the coming years.
Competitive Strategy: A detailed competitive benchmarking of the players operating in the global electric bus market has been done to help the reader understand how players stack against each other, presenting a clear market landscape. Additionally, comprehensive competitive strategies such as partnerships, agreements, and collaborations will aid the reader in understanding the untapped revenue pockets in the market.
Report Synopsis
| Report Metrics | Details |
| Base year considered | 2024 |
| Forecast period considered | 2024-2034 |
| Base year market size | $15.90 Billion in 2024 |
| Market size forecast | $65.10 Billion by 2034 |
| Growth rate | 15.14% |
| Units considered | $ Billion |
| Segments covered | By Type, By Battery Type, By Propulsion, By Length of Bus, By Seating Capacity, By Level of Autonomy, By Range, By Battery Capacity, By Power Output, By Charging Type, By Region |
| Industry covered | Automotive / Mobility |
| Regions covered | North America, Europe, Asia-Pacific, South America, Middle East and Africa |
| Countries covered | U.S., Canada, Mexico, France, Germany, U.K., Sweden, Spain, Netherlands, Italy, Poland, Rest-of Europe, China, Japan, India, Australia, South Korea, Rest-of-Asia-Pacific, Rest-of-the-World |
| Companies studied |
|
Key Market Players and Competition Synopsis
The companies that are profiled have been selected based on thorough secondary research, which includes analyzing company coverage, product portfolio, market penetration, and insights gathered from primary experts.
Some of the prominent companies in this market are:
- BYD Company Ltd.
- Proterra, Inc.
- AB Volvo
- VDL Groep bv
- NFI Group
- Yutong Bus Co., Ltd.
- TATA Motors
- Ashok Leyland
Key Questions Answered in this Report:
- What are the main factors driving the demand for the electric bus market?
- What are the major patents filed by the companies active in the electric bus market?
- Who are the key players in theelectric bus market, and what are their respective market shares?
- What partnerships or collaborations are prominent among stakeholders in the electric bus market?
- What are the strategies adopted by the key companies to gain a competitive edge in the electric bus market?
- What is the futuristic outlook for the electric bus market in terms of growth potential?
- What is the current estimation of the electric bus market, and what growth trajectory is projected from 2024 to 2034?
- Which application and product segment is expected to lead the market over the forecast period (2024-2034)?
- Which regions demonstrate the highest adoption rates forthe electric bus market, and what factors contribute to their leadership?
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