North America Bus Market Size, Share & Trends Analysis Report By Type (Single Deck, Double Deck), By Fuel Type, By Seat Capacity, By Application and Segment Forecasts, 2024 - 2030

North America Bus Market Size, Share & Trends Analysis Report By Type (Single Deck, Double Deck), By Fuel Type, By Seat Capacity, By Application and Segment Forecasts, 2024 - 2030

North America Bus Market Growth & Trends

The North America bus market size is expected to reach USD 13.16 billion by 2030, and registering a CAGR of 10.8% from 2024 to 2030, according to a study conducted by Grand View Research, Inc. The North America bus market growth is attributed to the active electrification of school buses in the U.S. owing to government and private entities announcing initiatives for buying school buses or leasing them to district schools. Additionally, the growing traction of buses in the U.S. is attributed to the revamping of highway infrastructure throughout the country, the electrification of public transit bus fleet by the different state governments, growing investment towards bus charging infrastructure., the development of electric bus fleet by private transit service operators and aggressive investment by the school and federal government to electrify school buses fleet with the country.

Governments in the region have implemented stringent environmental rules and regulations, which are promoting electric buses more quickly, fueling the industry expansion. For instance, in April 2022, Kathy Hochul, the governor of New York, and legislators agreed on a state budget worth USD 220 billion. It included a proposal to convert approximately 50,000 school buses to 100% electric by 2035. While advancing the objectives of the Climate Act, the proposal aimed to enhance the air quality in New York State. By 2027, it required all new school bus procurements to be zero-emission. By 2035, it required all school buses operating on public roads to be zero-emission buses, according to the additional legislation that Governor Hochul plans to propose in the future. Additionally, the governments of developed countries have processed the tender to increase the use of electric buses in cities. For instance, in the U.S., a program launched by California Air Resources Board (CARB) included guidelines for the manufacturers to produce emission-free vehicles, thereby driving the demand for electric buses.

The major market players have introduced robust zero-emission buses in North America to improve their brand representation. For instance, in January 2024, BYD Company Ltd exemplified this trend by delivering twenty electric buses to Metrobús in Mexico. These buses boast a low-floor design, accommodating up to 130 passengers, with a three-hour charging time and a robust 300 kWh battery capacity. The growth of the bus market can also be attributed to the efforts by bus manufacturers in the automotive industry are pursuing to develop advanced, battery-powered, and hydrogen fuel cell-powered buses. For instance, in January 2023, New Flyer, a mass mobility solutions provider, announced selecting Hexagon, a manufacturing company, as a supplier continuously for the third time. Under the contract, which is estimated to be approximately USD 2.5 million, Type 4 hydrogen storage cylinders from Hexagon Purus to be used in Xcelsior CHARGE H2(TM), a sequentially manufactured electric transit bus made of hydrogen fuel-cell from New Flyer, offering a driving range of up to 350 miles/560 kilometers on a single fill-up.

North America Bus Market Report Highlights

• Based on deck type, the single deck segment is anticipated to register significant growth from 2024 to 2030. This growth can be attributed to favorable government initiatives such as making all new U.S.-built buses zero-emission by 2030, and the funding provided to the manufacturers for accessing vital resources to electrify transportation and boost domestic sales.
• In terms of fuel type, the electric and hybrid segment is expected to register the highest growth from 2024 - 2030. This growth can be attributed to the continued electrification of public fleets and the aggressive adoption of hybrid buses by public fleet operators in the U.S. A myriad of incentives, subsidiaries, and rebates are being offered to electrify the existing bus fleet.
• Based on application, the school bus segment will dominate the market in 2023. Schools in various U.S. states, including Illinois, New York, Virginia, Florida, and California, are committed to increasing the use of electric school buses. California is already leading the way in the adoption of electric school buses by deploying over 1,000 electric school buses across the state.
• Based on seat capacity, the 15-30 seat capacity segment is expected to register considerable growth from 2024 to 2030. The growing trend to offer pick-and-drop service in workplaces or conferences and other events and the increase in shuttle services, especially in the metropolitan regions, are driving the demand for buses with a capacity of 15–30.
• Canada is witnessing a trend of private transit entities electrifying their vehicle fleets in association with major bus manufacturers present in Canada.

Please note The report will be delivered in 2-3 business days upon order notification.