Increasing Demand for Fuel-Efficient Buses Globally Drive Electric Bus Market Growth

Published: May 2020

Electric bus market is anticipated to grow at a significant CAGR of 16.8% during the forecast period (2024-2031).  The market growth is attributed to the growing demand for fuel-efficient, air-combating, and non-polluting buses, as well as initiatives from major countries looking for alternatives to replace their current conventional bus fleets with electric buses globally driving the growth of the market. Growing environmental concerns, strict regulations, and government initiatives to achieve zero emissions targets are triggering the adoption of electric buses. For instance, in September 2023, US and India launched a mechanism that will facilitate deployment of 10,000 made-in-India electric buses in cities across the country. This new initiative between the governments of India and the US represent public and private partners can work together to lower emissions and promote electric mobility.

Browse the full report description of “Electric Bus Market Size, Share & Trends Analysis Report by Vehicle Type (Fuel Cell Electric Vehicles, Battery Electric Vehicles and Plug-in Hybrid Electric Vehicle), by Battery Type (Nickel Manganese Cobalt (NMC), Lithium Iron Phosphate (LFP) and Lithium Nickel Cobalt Aluminum Oxide (NCA) and by End-Users (Public and Private) Forecast Period (2024-2031)” at https://www.omrglobal.com/industry-reports/electric-bus-market

Modern electric buses use innovative battery systems that provide longer battery life, faster charging times, and better energy density. Technological developments in batteries play a major role in making electric buses both feasible and efficient. For instance, in March 2024, Volvo Buses introduced Volvo 8900 electric intercity bus. The Volvo 8900 electric comes in two- or three-axle configurations, with a capacity of up to 110 passengers. In combination with the modular battery arrangement of up to 540 kWh, these options make the Volvo 8900 Electric suitable for most applications in extended city and intercity operations.

The new electric buses were designed from the bottom up to be completely emission-free vehicles internally. Market players are introducing new design that highlight their zero-emission credentials and enable bus operators and local governments to announce their historic investment in a cleaner fleet. For instance, in November 2023, Alexander Dennis introduced next generation of battery-electric buses for the UK and Ireland with the unveiling of the new Enviro100EV small bus and Enviro400EV double decker. They provide a step change in performance and are part of a wider family of next-generation zero-emission buses.

Market Coverage

The market number available for – 2023-2031

Base year- 2023

Forecast period- 2024-2031

Segment Covered

o By Vehicle Type

o By Battery Type

o By End-Users

Regions Covered-

o North America

o Europe

o Asia-Pacific

o Rest of the World

Competitive Landscape- AB Volvo, BYD Motors, Inc., Daimler AG, Tata Motors, Ltd., Yutong Bus Co., Ltd., among others.

Key questions addressed by the report.

  • What is the market growth rate?
  • Which segment and region dominate the market in the base year?
  • Which segment and region will project the fastest growth in the market?
  • Who is the leader in the market?
  • How are players addressing challenges to sustain growth?
  • Where is the investment opportunity?

Global Electric Bus Market Report Segment

By Vehicle Type

  • Fuel Cell Electric Vehicle 
  • Battery Electric Vehicle 
  • Plug-in Hybrid Electric Vehicle

By Battery Type

  • Nickel Manganese Cobalt (NMC)
  • Lithium Iron Phosphate (LFP)
  • Lithium Nickel Cobalt Aluminum Oxide (NCA)

By End-Users

  • Public
  • Private

Global Electric Bus Market Report Segment by Region

North America

United States

Canada 

Europe

UK

Germany

Italy

Spain

France

Rest of Europe 

Asia-Pacific

China

India

Japan

South Korea

Rest of Asia-Pacific 

Rest of the World

Latin America 

Middle East & Africa


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