North America Bus Market Size To Reach $12.23 Billion By 2030

North America Bus Market Growth & Trends

The North America bus market size is expected to reach USD 12.23 billion by 2030, registering a CAGR of 10.3 % over the forecast period, according to a study conducted by Grand View Research, Inc. The 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 in 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 for producing emission-free vehicles, thereby driving the demand for electric buses.

The significant growth of the North America buses market can also be attributed to the growing use of Intelligent Transport Systems (ITSs), which consist of technologies such as electronics, data processing, wireless connectivity, and control, making public transportation secure, effective, and convenient. ITSs can significantly boost the capacity and speed of transportation by autonomously adjusting traffic signal timings with real-time traffic and passenger information.

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North America Bus Market Report Highlights

• The electric and hybrid segment is expected to register rapid CAGR from 2023 to 2030. The 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

• The school buses segment dominates the market. 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

• The 15-30 seat capacity segment is expected to register significant growth over the forecast period. 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

North America Bus Market Segmentation

Grand View Research has segmented the North America bus market based on type, fuel type, seat capacity, application, and region:

North America Bus Type Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• Single Deck

• Double Deck

North America Bus Fuel Type Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• Diesel

• Electric and Hybrid

• Other Fuel Type

North America Bus Seat Capacity Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• 15-30 Seats

• 31-50 Seats

• More Than 50 Seats

North America Bus Application Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• Transit

• School

• Coach

• Others

North America Bus Regional Outlook (Volume, Units; Revenue, USD Million, 2018 - 2030)

• North America

  • U.S.

  • Canada

List of Key Players in the North America Bus Market

• AB Volvo

• Anhui Ankai Automobile Co., Ltd.

• Blue Bird Corporation

• BYD Company Limited

• Daimler AG (Mercedes-Benz Group AG )

• Iveco SpA

• NAVISTAR (Traton Group)

• NFI Group

• Proterra Inc.

• REV Group