Global City Electric Bus Market Growth 2025-2031

The global City Electric Bus market size is predicted to grow from US$ 10710 million in 2025 to US$ 29960 million in 2031; it is expected to grow at a CAGR of 18.7% from 2025 to 2031.

A city electric bus is an electric-powered bus designed specifically for urban transportation. These buses aim to reduce emissions, noise pollution, and operational costs while providing efficient and reliable service within city environments.

City electric buses are playing a crucial role in urban public transportation electrification, replacing traditional diesel and natural gas buses. With strong government support, advancements in battery technology, and the growing demand for sustainable transport, the market for electric buses is expanding rapidly.

Subsidies, low-emission zones (LEZs), and internal combustion engine (ICE) phase-out policies are accelerating electric bus adoption. For example, the EU mandates that all new buses must be zero-emission by 2030, while China is implementing large-scale electric bus replacement programs. Lithium battery costs have dropped significantly, making electric buses more cost-competitive over their lifespan compared to diesel buses. Additionally, electric buses have 30%-50% lower maintenance costs.Meanwwhile, fast charging, wireless charging, and battery swapping technologies are improving the operational efficiency of electric buses. China, for instance, is trialing battery-swapping electric buses to reduce downtime.

China is the largest market, and has a share about 72%, followed by Europe and North America with share 16% and 4%, separately.China leads the global market, , with BYD and Yutong at the forefront. India and Southeast Asia are emerging markets due to government incentives.The EU’s Clean Vehicle Directive is pushing for higher electric bus adoption, with companies like Volvo and Solaris expanding their footprint. The US Infrastructure Investment and Jobs Act is promoting electric bus deployment, though infrastructure challenges remain.

In terms of product type, Battery Electric Bus is the largest segment, accounting for a share of 86%. Battery Electric Bus (BEB) – Dominant segment, ideal for intra-city routes with zero emissions.Plug-in Hybrid Electric Bus (PHEB) is suitable for mixed urban and suburban routes.Fuel Cell Electric Bus (FCEB) is best for long-distance routes with fast refueling capabilities.

Global key players of City Electric Bus include Yutong Bus, BYD, King Long Motor Group, New Flyer, CRRC Electric Vehicle, etc. The top five players hold a share about 51%.

LP Information, Inc. (LPI) ' newest research report, the “City Electric Bus Industry Forecast” looks at past sales and reviews total world City Electric Bus sales in 2024, providing a comprehensive analysis by region and market sector of projected City Electric Bus sales for 2025 through 2031. With City Electric Bus sales broken down by region, market sector and sub-sector, this report provides a detailed analysis in US$ millions of the world City Electric Bus industry.

This Insight Report provides a comprehensive analysis of the global City Electric Bus landscape and highlights key trends related to product segmentation, company formation, revenue, and market share, latest development, and M&A activity. This report also analyzes the strategies of leading global companies with a focus on City Electric Bus portfolios and capabilities, market entry strategies, market positions, and geographic footprints, to better understand these firms’ unique position in an accelerating global City Electric Bus market.

This Insight Report evaluates the key market trends, drivers, and affecting factors shaping the global outlook for City Electric Bus and breaks down the forecast by Type, by Application, geography, and market size to highlight emerging pockets of opportunity. With a transparent methodology based on hundreds of bottom-up qualitative and quantitative market inputs, this study forecast offers a highly nuanced view of the current state and future trajectory in the global City Electric Bus.

This report presents a comprehensive overview, market shares, and growth opportunities of City Electric Bus market by product type, application, key manufacturers and key regions and countries.

Segmentation by Type:
Battery Electric Bus
Plug-in Hybrid Electric Bus
Fuel Cell Electric Bus

Segmentation by Application:
Commuting
Tourism
Others

This report also splits the market by region:
Americas
United States
Canada
Mexico
Brazil
APAC
China
Japan
Korea
Southeast Asia
India
Australia
Europe
Germany
France
UK
Italy
Russia
Middle East & Africa
Egypt
South Africa
Israel
Turkey
GCC Countries

The below companies that are profiled have been selected based on inputs gathered from primary experts and analysing the company's coverage, product portfolio, its market penetration.
Yutong Bus
BYD
King Long Motor Group
New Flyer
CRRC Electric Vehicle
Foton AUV
Solaris Bus & Coach
MAN
Farzion Auto
Zhongtong Bus
Volvo
Mercedes-Benz Group
Sunwin Bus
Skywell
Iveco Bus
Ankai Automobile
EBUSCO
VDL Bus & Coach

Key Questions Addressed in this Report

What is the 10-year outlook for the global City Electric Bus market?

What factors are driving City Electric Bus market growth, globally and by region?

Which technologies are poised for the fastest growth by market and region?

How do City Electric Bus market opportunities vary by end market size?

How does City Electric Bus break out by Type, by Application?

Please note: The report will take approximately 2 business days to prepare and deliver.