Published: May 2022 | Report Code: 12322 | Available Format: PDF | Pages: 162
The U.S. bus market size stood at $7,453.4 million in 2021. This number is expected to increase to $11,237.7 million by 2030, advancing at a CAGR of 4.7% during 2021–2030. This can be ascribed to the rapid urbanization and growing population, coupled with the increasing government spending on the upgradation of public transport vehicles. Moreover, the availability of local, state, and federal fundings and the presence of a large number of school buses fuel the market growth.
The school buses category held the largest revenue share, around 55%, in the market in 2021, and it is expected to continue witnessing the same trend during the forecast period as well. This is because these buses are the largest form of mass transportation in the country. Nearly 480,000 school buses were on the roads in 2021 in the U.S., outnumbering transit buses roughly 7 to 1. Furthermore, the surging adoption of electric buses for school purposes enhances the market in this category in the U.S.
Public transportation has the potential to improve traffic safety, air quality, active transportation, and accessibility, as well as personal health benefits. Public transportation uses less fuel and produces lower levels of volatile organic compounds, carbon monoxide, and carbon dioxide per passenger mile relative to private vehicles. Along with the environmental benefits, it has substantially lower crash rates and lower crash severity than automotive travel. Commuting by public transit is 10 times safer per mile than commuting by automobile. Moreover, people can minimize their chance of being in an accident by more than 90% simply by taking public transport as opposed to traveling by car. These aforementioned factors help in boosting the U.S. bus market growth.
Standard buses accounted for a larger revenue share in 2021, and the category is also projected to dominate the market during the forecast period, advancing at a higher growth rate. This is because, in public transportation and schools, standard buses are used in a huge number. Also, customizable buses are not permitted in schools, which gives a boost to the demand for standard buses in the country.
Report Attribute | Details |
Historical Years |
2017-2021 |
Forecast Years |
2022-2030 |
Market Size in 2021 |
$7,453.4 Million |
Revenue Forecast in 2030 |
$11,237.7 Million |
Growth Rate |
4.7% CAGR |
Report Scope |
Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling |
Segments Covered |
By Vehicle Type; By Body Type; By Ownership; By Fuel Type; By Length; By Seating Capacity; By State |
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The government category is expected to generate the largest revenue, around $9.0 billion, by 2030. The increase in government funding for transportation and the active involvement of the government to deploy electric buses are some of the major factors making government ownership stronger in the country. For example, on June 25, 2021, the FTA, an agency within the U.S. DOT, announced a $182.9 million grant under the Low- or No-Emission Grant Program. The funding will offer financial assistance for the purchase or leasing of low-emission vehicles or ZEVs that incorporate advanced technologies in the form of equipment or features. This funding trend in the field of electric buses is driving the expansion of the U.S. bus market revenue.
The electric propulsion category is projected to grow at the highest CAGR, of around 30%, during the forecast period, in terms of revenue. This is because the penetration of electric buses in the U.S. was around 1.6% of the country’s total bus sales in 2021, and the share of electric buses in public fleets is consistently increasing. Further, many public transport agencies have signed contractual orders with electric bus manufacturers for the procurement of electric buses.
8.1–10 m bus is expected to remain the largest category in the market during 2021–2030. This type of bus offers better milage and seating comfort than other types of buses. In addition, electric buses in this length make more sense for environmental protection than comparatively smaller buses.
The buses with a seating capacity of 30–50 seats held the largest revenue share in the market, and it is projected to record the highest CAGR, of around 5.0%, in the coming years. This is because these buses can carry more passengers, burn less fuel, and are economically efficient.
The Californian bus market accounted for the largest revenue share, of around 12%, in 2021, in the U.S. This is because a huge population demands efficient transportation systems. In addition, California has become a hub of new electric bus programs. The California Air Resources Board (CARB), a subsidiary of the California EPA, aids the implementation of state-wide clean air standards by funding innovative emissions reduction projects, such as CARBS’ Hybrid and Zero-Emission Truck and Bus Voucher Incentive Project (HVIP).
Players in the U.S. bus market have been engaged in collaborations, partnerships, geographical expansions, product launches, and contract wins to gain a competitive edge. For instance:
The report offers comprehensive market segmentation analysis along with market estimation for the period 2017–2030.
Based on Vehicle Type
Based on Body Type
Based on by Ownership
Based on Propulsion
Based on Length
Based on Seating Capacity
Geographical Analysis
During 2021–2030, the growth rate of the U.S. bus market will be 4.7%.
In 2021, the size of the U.S. bus market stood at $7,453.4 million.
School buses are the largest vehicle type in the U.S. bus market.
California is the largest market for buses in the U.S.
Top players in the U.S. bus market include Proterra Inc., BYD Company Limited, NFI Group Inc., GreenPower Motor Company Inc., GILLIG LLC, Blue Bird Corporation, AB Volvo, The Lion Electric Company, Daimler Truck AG, REV Group Inc., and Navistar International Corporation.
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