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Electric Bus Market size to hit $180 Bn by 2032
- Published Date: April 3, 2023
Electric Bus Market size is anticipated to cross USD 180 billion by 2032, according to the latest research report by Global Market Insights Inc.
The study suggests that the commendable rise in government investments in developing EV charging infrastructure across North America will positively influence the electric bus industry dynamics during 2023-2032.
Government organizations globally, especially in North America, have been emphasizing the adoption of electric vehicles to reduce hazardous emissions and ensure a cleaner environment while investing in initiatives to develop the charging infrastructure. Additionally, the Government of Canada targets reaching 10% of light-duty vehicle sales to be ZEV by 2025 and completing 100% of sales should be ZEV by 2040.
The burgeoning demand for eco-friendly transport and mobility solutions in the Asia Pacific is also a key factor contributing to the electric bus market expansion. The high population growth in several countries in APAC has resulted in the rising number of people owning two-wheelers and cars, contributing to elevated air pollution levels in the region. Since air quality has become a prime concern in several countries like China and India due to increased vehicle ownership rates and subsequent rise in vehicle emissions, the rapid deployment of electric fleets will favor industry growth.
Rising concerns about vehicle emissions to spur sales of PHEV buses
The industry size from the PHEV segment is poised to amass USD 15 billion by 2032. Factor adding to the popularity of PHEVs is the number of benefits, such as lower cost, fuel economy, reduced emissions, and improved batteries associated with these vehicles. As a result, numerous countries with limited EV charging infrastructure, including India, Singapore, Malaysia, and Brazil, are using plug-in hybrid buses in their public transportation system to improve air quality levels which will significantly drive product demand.
Browse key industry insights spread across 300 pages with 455 market data tables & 26 figures & charts from the report, “Electric Bus Market Size By Type (All-electric, PHEV, FCEV), By Battery Capacity (Below 100 kWh, 100 - 300 kWh, Above 300 kWh), By Seating Capacity (Below 40 Seats, 40 - 70 Seats, Above 70 Seats), By Application (Intracity, Intercity) & Forecast, 2023 - 2032” in detail along with the table of contents:
Increasing investments focused on expanding the public EV fleets for intercity applications
The intercity electric bus market is poised to witness 10% CAGR between 2023 and 2032. The rising government investments in electric vehicles, flourishing travel & tourism and the positive outlook of the hospitality sector within various cities are propelling the demand for these buses in the intercity application. Several local and regional transportation authorities are investing in the electrification of public transportation owing to the zero-emission benefit and low fair charges enabling more economical conveyance.
Europe to emerge as a prominent business hub due to supportive regulatory framework
Europe electric bus industry size is anticipated surpass USD 8 billion by 2032 led by the espousal of automotive technologies such as self-driving vehicles, advanced climate control systems, smart driver cabins and increased battery power. Besides, the escalating rollouts of favorable government initiatives, such as the European Commission Green e-mobility initiative, that supports European countries in developing public e-mobility like electric buses in partnership with electric vehicle manufacturers, industry, municipalities, utilities, technology, research institutions, and universities will propel regional revenues.
New product developments to remain a key focus area
Prominent enterprises operating in the electric bus market scenario are BYD Co. ltd., NFI Group Inc., Solaris Bus & Coach, VDL Bus & Coach, Volvo Buses, Hyundai Motor Company, Nissan Motor Corporation, General Motors, and Ford Motor Company. These players are consistently focusing on enhancing their product lines to strengthen their foothold.