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    US Automotive Electric Bus Market

    ID: MRFR/AM/12535-HCR
    100 Pages
    Sejal Akre
    September 2025

    US Automotive Electric Bus Market Research Report By Type (Single-Decker, Double-Decker), By Propulsion (BEV, PHEV, FCEV) and By Length (6 to 8 m, 9 to 12 m, Above 12 m) - Forecast to 2035

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    US Automotive Electric Bus Market Infographic
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    US Automotive Electric Bus Market Summary

    The US Automotive Electric Bus market is projected to grow from 44.6 USD Billion in 2024 to 600 USD Billion by 2035, indicating a robust expansion trajectory.

    Key Market Trends & Highlights

    US Automotive Electric Bus Key Trends and Highlights

    • The market is expected to experience a compound annual growth rate (CAGR) of 26.64% from 2025 to 2035.
    • By 2035, the market valuation is anticipated to reach 600 USD Billion, showcasing substantial growth potential.
    • In 2024, the market is valued at 44.6 USD Billion, reflecting the increasing investment in electric bus technology.
    • Growing adoption of electric buses due to environmental regulations is a major market driver.

    Market Size & Forecast

    2024 Market Size 44.6 (USD Billion)
    2035 Market Size 600 (USD Billion)
    CAGR (2025-2035) 26.64%

    Major Players

    NFI Group, New Flyer, Lion Electric, Freightliner, Thunder Power, Volta, Motor Coach Industries, Bluebird, Proterra, BYD, Wrightbus, Navistar, Alexander Dennis, Gillig

    US Automotive Electric Bus Market Trends

    The US Automotive Electric Bus Market is experiencing a significant shift towards sustainability and clean transportation. A surge in governmental policies aimed at reducing greenhouse gas emissions has become a crucial driver for the adoption of electric buses in the country. Federal and state initiatives, including grants and incentives for transit agencies to transition their fleets, are steering the market towards an electric future. Furthermore, growing public concern about air quality and climate change contributes to this push for zero-emission vehicles, making electric buses more appealing to public transportation authorities.

    Opportunities in the US market are emerging from significant investments in charging infrastructure.Federal programs are supporting the installation of electric bus charging stations across urban and rural areas, ensuring practical operations for electric fleets. Transit agencies are increasingly evaluating solutions to enhance operational efficiency, leading to collaboration with technology firms to develop smart charging systems. These advancements can further drive the growth of electric bus adoption by addressing range anxiety and operational setbacks.

    In recent times, there is a noticeable trend of major US manufacturers enhancing their electric bus offerings, focusing on longer range, faster charging capabilities, and better performance.Additionally, many cities are piloting electric bus programs and sharing insights to refine their operations, which provides valuable data for future implementations. The electrification of public transit is becoming a core component of urban planning in major US cities, aligning with broader goals of sustainability and modernization of transportation systems. As more transit agencies evaluate electrification as a viable solution, the US Automotive Electric Bus Market is positioned for notable growth and evolution.

    Market Segment Insights

    US Automotive Electric Bus Market Segment Insights:

    US Automotive Electric Bus Market Segment Insights:

    Automotive Electric Bus Market Type Insights

    Automotive Electric Bus Market Type Insights

    The US Automotive Electric Bus Market has been demonstrating significant developments in recent years, particularly in terms of its Type segmentation, which primarily includes Single-Decker and Double-Decker buses. The increasing demand for sustainable public transportation solutions has contributed to a notable shift towards electric buses, which are recognized for their efficiency and eco-friendliness. Single-Decker buses are preferred in urban settings due to their lower operational costs and ability to navigate through congested city streets, making them an ideal solution for municipalities focused on reducing emissions and improving air quality.

    Their compact design allows for better accessibility and flexibility in route planning, aligning perfectly with the rising trends of cities implementing stricter environmental regulations. On the other hand, the Double-Decker buses cater to a different yet significant segment of the market, particularly in densely populated areas where passenger capacity is a priority. Their ability to accommodate more passengers without requiring additional road space makes them a wholesome choice for public transport authorities aiming to improve mass transit efficiency.

    Double-Decker buses can facilitate a higher volume of riders during peak hours, which is essential for reducing traffic congestion and minimizing the carbon footprint associated with transportation.

    Both Single-Decker and Double-Decker segments play a crucial role in shaping the US Automotive Electric Bus Market, offering diverse solutions to a growing demand for environmentally sound transportation options. The market is primarily driven by advancements in battery technology and supportive government policies that encourage the adoption of electric vehicles. As a result, both types of buses are significant contributors to achieving the overarching goals of sustainability and public health in urban mobility.

    Automotive Electric Bus Market Propulsion Insights

    Automotive Electric Bus Market Propulsion Insights

    The US Automotive Electric Bus Market is increasingly focused on the Propulsion segment, which encompasses different technologies like Battery Electric Vehicles (BEV), Plug-in Hybrid Electric Vehicles (PHEV), and Fuel Cell Electric Vehicles (FCEV). Each of these propulsion types plays a significant role in shaping the market, with BEVs leading in popularity due to their zero emissions and lower operating costs, making them a compelling option for urban transit systems aiming for sustainability.

    PHEVs combine conventional engines with electric propulsion, offering flexibility that appeals to a broader range of transit authorities while addressing range anxiety.Meanwhile, FCEVs are gaining traction due to their quick refueling capabilities and long-range potential, essential for long-distance travel and reducing reliance on battery charging infrastructure. Collectively, these propulsion technologies contribute to the growth of the sector, supported by government initiatives emphasizing green infrastructure and investment in electric mobility.

    The evolving US Automotive Electric Bus Market is thus characterized by a diverse propulsion landscape that caters to different operational needs, driving both technological advancement and consumer acceptance in the quest for cleaner urban air.

    Automotive Electric Bus Market Length Insights

    Automotive Electric Bus Market Length Insights

    The Length segment within the US Automotive Electric Bus Market is critical as it categorizes buses into various size ranges that cater to different transportation needs. The market is segmented into three main categories: 6 to 8 meters, 9 to 12 meters, and above 12 meters. The 6 to 8 meters category is significant for urban environments, as these compact buses are ideal for navigating crowded city streets and serve as efficient solutions for short-distance commuting. The 9 to 12 meters buses are predominantly utilized in intercity and regional transport services, balancing between capacity and maneuverability.

    Meanwhile, buses exceeding 12 meters play a crucial role in mass transit systems, accommodating larger passenger loads for longer distances, and aligning with public policy shifts toward sustainable transportation. As cities focus on reducing carbon emissions and enhancing public transport systems, the demand across these Length categories continues to evolve, driven by technological advancements, government incentives, and growing environmental awareness among consumers. The segmentation of the market allows stakeholders to tailor offerings to meet specific market demands effectively, creating opportunities for innovation and growth within the US Automotive Electric Bus Market.

    Get more detailed insights about US Automotive Electric Bus Market Research Report — Global Forecast till 2035

    Key Players and Competitive Insights

    The US Automotive Electric Bus Market is experiencing significant growth driven by increasing concerns over environmental sustainability, advancements in battery technologies, and contributions toward reducing urban emissions. As various stakeholders, including government entities, transit agencies, and private operators, strive to enhance public transportation systems, electric buses are becoming an integral part of these infrastructures. This has spurred competition among key players in the market, leading to innovation in design, efficiency, and customer service.

    Companies in this sector are also focusing on expanding their geographic reach and establishing strategic partnerships to enhance their presence in this dynamic marketplace. The competitive landscape is characterized by a mix of established manufacturers and new entrants, all looking to gain market share and meet the growing demand for zero-emission transport.NFI Group plays a pivotal role in the US Automotive Electric Bus Market by capitalizing on its established reputation for high-quality manufacturing and innovation in bus technology.

    The company is recognized for its strong commitment to sustainability and customer satisfaction, which allows it to maintain a competitive edge. Its diverse product portfolio, which includes a range of electric buses, showcases the company's ability to cater to varying needs from different transit authorities across the US. NFI Group's strength lies in its extensive experience in the sector, allowing it to leverage advanced engineering and manufacturing capabilities to produce efficient and reliable electric buses.

    The company's proactive approach to developing strategic alliances with battery suppliers and technology firms further enhances its position in the market.New Flyer, as a subsidiary of NFI Group, is firmly established in the US Automotive Electric Bus Market, distinguishing itself through its focus on innovation and sustainability. The company offers a robust selection of electric buses and environmentally friendly transportation solutions, primarily catering to transit authorities seeking to modernize their fleets.

    New Flyer is recognized for its commitment to research and development, resulting in cutting-edge products optimized for performance and energy efficiency. The company has successfully executed mergers and acquisitions that bolster its operational capabilities and market reach, solidifying its status within the industry. Moreover, with a substantial market presence, New Flyer benefits from strong relationships with various stakeholders in the public transportation sector, enabling it to meet evolving transportation demands and further advance electric bus adoption across the United States.

    Key Companies in the US Automotive Electric Bus Market market include

    Industry Developments

    The US Automotive Electric Bus Market has witnessed notable recent developments, particularly with companies like NFI Group and Proterra expanding their electric bus offerings. In September 2023, New Flyer received significant orders for electric buses from multiple transit authorities, underscoring the demand for sustainable public transport solutions. Lion Electric has also ramped up production to meet increasing orders from municipalities aiming to replace older diesel fleets with electric models. In terms of market valuation growth, industry analysts have noted an upswing due to federal initiatives promoting clean energy and reduction of emissions, reflecting in NFI Group's and Proterra's stock valuations.

    In a pivotal move, BYD partnered with various municipalities in August 2023 to further enhance its footprint in the electric bus segment. Over the past two years, significant investments and favorable government policies have driven advancements in charging infrastructure, essential for electric buses. Expansion of the electric vehicle market is being accelerated by federal funding programs and incentives aimed at emissions reduction. Acquisitions have been sparse, with notable mergers expected in 2024 as companies seek to consolidate their market presence. Overall, the US market is adapting rapidly to the push for electrification in public transportation.

    Market Segmentation

    Outlook

    • 6 to 8 m
    • 9 to 12 m
    • Above 12 m

    Report Scope

    Report Attribute/Metric Source: Details
    MARKET SIZE 2018 32.68(USD Billion)
    MARKET SIZE 2024 44.64(USD Billion)
    MARKET SIZE 2035 600.0(USD Billion)
    COMPOUND ANNUAL GROWTH RATE (CAGR) 26.645% (2025 - 2035)
    REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    BASE YEAR 2024
    MARKET FORECAST PERIOD 2025 - 2035
    HISTORICAL DATA 2019 - 2024
    MARKET FORECAST UNITS USD Billion
    KEY COMPANIES PROFILED NFI Group, New Flyer, Lion Electric, Freightliner, Thunder Power, Volta, Motor Coach Industries, Bluebird, Proterra, BYD, Wrightbus, Navistar, Alexander Dennis, Gillig
    SEGMENTS COVERED Type, Propulsion, Length
    KEY MARKET OPPORTUNITIES Government incentives and subsidies, Growing urbanization and public transit needs, Advancements in battery technology, Increased focus on sustainability, Rising fuel prices and operational costs
    KEY MARKET DYNAMICS growing environmental regulations, increasing fuel efficiency standards, advancements in battery technology, rising operational costs, government subsidies and incentives
    COUNTRIES COVERED US

    FAQs

    What is the expected market size of the US Automotive Electric Bus Market in 2024?

    The US Automotive Electric Bus Market is expected to be valued at 44.64 billion USD in 2024.

    What is the projected market value of the US Automotive Electric Bus Market by 2035?

    By 2035, the market is projected to reach a value of 600.0 billion USD.

    What is the expected CAGR for the US Automotive Electric Bus Market from 2025 to 2035?

    The expected compound annual growth rate for the market from 2025 to 2035 is 26.645%.

    Which type of electric bus will dominate the market in 2024?

    The Single-Decker segment is valued at 20.64 billion USD in 2024 while the Double-Decker segment is valued at 24.0 billion USD.

    What market value is projected for Single-Decker electric buses by 2035?

    The market value for Single-Decker electric buses is projected to reach 250.0 billion USD by 2035.

    What will be the market value for Double-Decker electric buses by 2035?

    The projected market value for Double-Decker electric buses by 2035 is 350.0 billion USD.

    Who are the key players in the US Automotive Electric Bus Market?

    Major players in the market include NFI Group, New Flyer, Lion Electric, Freightliner, and Proterra.

    What are the main growth drivers for the US Automotive Electric Bus Market?

    The rise in demand for sustainable public transportation and government incentives are driving market growth.

    Are there any emerging trends in the US Automotive Electric Bus Market?

    Yes, advancements in battery technology and increased investments in electric infrastructure are notable trends.

    What challenges does the US Automotive Electric Bus Market currently face?

    Challenges include high initial costs and the need for robust charging infrastructure to support electric buses.

    US Automotive Electric Bus Market Research Report — Global Forecast till 2035 Infographic
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