Public Transport Market Research Report Information by Mobility (Bus, Tram, Train, Car Sharing, Others), By Propulsion (Diesel, Gasoline, Electric, Others), By Ownership Type (Private Owned, Public Owned), By End Use (Intracity, Intercity, Others) and By Region (North America, Europe, Asia-Pacific, Middle East and Africa, South America) –Market Forecast Till 2032

Public Transport Market Size was valued at USD 304.63 billion in 2023. The Global Public Transport industry is projected to grow from USD 345.75 Billion in 2024 to USD 952.22 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 13.5% during the forecast period (2024 - 2032).

Public transport refers to transportation systems available to the public that charge set fares, run on fixed routes, and are available to all people. This includes buses, trains, subways, and other forms of transport like trams. Public transport has traditionally been provided by heavily subsidized public-sector bodies operating discrete/siloed transportation modes. This approach made sense from an asset-management perspective, but it led to journey options for citizens when timetables, ticketing and customer service were only sometimes aligned to expedite travel across various transit systems. Additionally, agencies typically took a monopoly mindset to protect revenue and market share. Today, new market entrants are changing the last-mile equation through enhanced services and convenient new offerings. Disruptive transport technologies are on the horizon. Frictionless service interactions in other sectors have raised customer expectations of public transport. Joined-up services, seamless payments and enhanced customer experiences are the way forward for mature transport systems. 

FIGURE 1: Global Public Transport Market Size 2019-2032 (USD Billion) 

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Public Transport Market Trends

Mobility-as-a-Service (MaaS) solutions 

One major trend transforming public transportation is the rise of mobility as a service. New transportation startups are developing digital platforms and mobile apps that allow users to seamlessly plan, book and pay for multimodal trips using various options like buses, trains, shared rides and electric scooters. Integrating public and private transit options into a single interface, these MaaS systems make it more convenient than ever to get around urban areas without a private vehicle. As more cities and transit agencies embrace open data sharing, mobility as a service can revolutionize how the public accesses transportation networks and increase ridership across all transit modes. 

Public Transport Market Segment Insights: 

Public Transport Mobility Insights 

Based on Mobility, the global Public Transport market segmentation includes (Bus, Tram, Train, Car Sharing, Others). Bus segment hold majority market share in 2022. Buses are one of the most widely used forms of public transportation globally. They provide flexible mobility using fixed routes and schedules. Buses can carry many people and operate on road networks, requiring less infrastructure investment than rail. This makes buses accessible for most urban and suburban communities. 

Currently, buses remain the backbone of public transit systems. However, new technologies may help buses compete better with private vehicles. Integrating bus services with mobile apps and smart payment systems will improve user convenience. Connected buses could offer more accurate real-time arrival times and route planning. Autonomous vehicle technology may eventually enable driverless operation, reducing costs. Electric buses also provide opportunities for more environmentally friendly transportation. Modernized bus networks could see higher ridership over private cars for short-distance commutes if integrated into mixed-use neighborhoods and given dedicated transit lanes. Advanced buses help public transportation remain relevant to evolving mobility needs.  

FIGURE 2: Global Public Transport Market, By Offering, 2022 Vs 2032 (USD BILLION) 

Source: Secondary Research, Primary Research, MRFR Database, and Analyst ReviewPublic Transport Propulsion Insights 

Based on the Propulsion, the global Public Transport market segmentation is Diesel, Gasoline, Electric, Others. Diesel dominates the propulsion market for public vehicles like buses and trains. Some of the reasons are: - 

• Upfront costs - Diesel vehicles have a lower initial price tag than electric ones. This makes them more attractive to public transit agencies with limited capital budgets. 

• Refuelling infrastructure - Established diesel fueling stations are widely available, unlike electric charging points, which are still being expanded. This addresses a range of anxiety concerns. 


• Proven technology - Diesel engines are a tried and tested solution with over a century of improvements. Their reliability and maintenance needs are well understood. 


• Heavier vehicles - Buses and trains require high torque at low RPMs, which diesel excels at delivering. Battery electric has made strides but is still developing for the heaviest-duty applications. 

However, electric propulsion is proliferating as battery and charging technology advances. More public transport operators are piloting and adopting electric buses and trains. With the total cost of ownership decreasing and environmental regulations tightening, electric options show strong potential to overtake diesel in the coming decades. 

Public Transport Ownership Type Insights 

Based on Ownership Type, the global Public Transport market segmentation includes Private Owned, Public Owned. Public ownership refers to the operation and management of transportation services by government or public authorities, such as municipal or regional transport agencies. There are several reasons why this segment often prevails. Firstly, publicly owned transport systems are driven by the objective of serving the community rather than solely focusing on profit-making. This allows for greater emphasis on accessibility, affordability, and ensuring that transportation services are available to all members of society, including low-income individuals and marginalized communities. Additionally, public-owned transport systems often benefit from government funding, enabling them to invest in infrastructure development and modernization. This financial support helps improve the overall quality and reliability of the services, attracting more passengers and encouraging higher ridership. 

Public Transport End Use Insights 

The intracity public transport segment likely dominates the overall market currently. This is because intracity transit networks are essential for mobility within most urban environments. They allow many people to travel shorter distances efficiently for work, education, errands, and other daily activities. Operating within one city limit, intracity buses, trains, and metros require less infrastructure than intercity options. They also benefit from serving regular commuters with high frequency along fixed routes. As more people worldwide increasingly live in urban environments, demand for convenient and affordable intracity mobility options will likely continue growing. This makes the intracity public transport segment paramount for addressing transportation needs. Investments enhancing intracity connectivity and user experience could drive its market share even higher than other categories. 

Public Transport Regional Insights 

By Region, the study provides market insights into North America, Europe, Asia-Pacific, Middle East and Africa and South America. The North America Public Transport market accounted for ~27.8% in 2022.  The public transportation market in Europe is quite large and diverse, encompassing various modes of transport used daily by millions of people across the continent. Rail transport, including subways, trams and trains, accounts for the largest market share, with buses also representing a significant portion. Intercity rail travel between major cities is popular for business and leisure, while intracity metro and light rail systems handle high volumes of commuters in urban centers. Other modes like ferries and cable cars serve specific geographic needs. European public transportation demand has been increasing in recent years, driven by rising fuel costs, environmental concerns, and urbanization. Significant investments are being made across Europe to expand and upgrade public transit infrastructure to meet growing rider demand and shift more trips from private vehicles. According to European Investment Bank 2024 published data, between 2010 and 2019, passenger cars’ share of inland passenger transport in the EU ranged between 82.0 % and 83.1 %. This share increased to 87.2 % in 2020, reflecting the impact of the COVID-19 crisis on the use of transport in general, particularly on public transport. The share for coaches, buses and trolley buses ranged from 9.5 % to 10.4 % between 2010 and 2019 but dropped to 7.4 % in 2020. For trains, the share increased from 7.1 % in 2010 to 8.0 % by 2019 before falling back to 5.4 % in 2020. 

Further, the major countries studied in the market report are the U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, South Korea, and Brazil.

FIGURE 3: Global Public Transport Market Size By Region 2022 Vs 2032 

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Public Transport Key Market Players & Competitive Insights

The public transport market is characterized by a highly competitive landscape with numerous key players vying for market share. Companies such as Uber, Lyft, and Didi Chuxing have revolutionized the industry by introducing ride-sharing services that offer convenient and affordable transportation options. Traditional public transport providers like buses and trains face increasing competition as these digital platforms expand their reach. Companies like Lime and Bird have also disrupted the market with electric scooters and bikes, providing another alternative for short-distance commuting. As this competition intensifies, public transport providers increasingly embrace technology to improve their services and stay relevant in this dynamic market. 

Key Companies in the Public Transport market include. 

• MTR Corporation 


• Bay Area Rapid Transit 


• Madrid Metro 


• Chicago Transit Authority 


• Uber Technologies Inc 


• Grande West Transportation Group Ltd. 


• The Washington Metropolitan Area Transit Authority TEMSA Global


• Lyft, Inc. 


• Gillig Corporation 


• Seoul Metro 


• The San Diego Metropolitan Transit System 


• Other Players 

Public Transport Market Segmentation: 

Public Transport Mobility Outlook 

• Bus  


• Tram  


• Train  


• Car Sharing 


• Others 

Public Transport Propulsion Outlook 

• Diesel 


• Gasoline 


• Electric 


• Others 

Public Transport Ownership Type Outlook 

• Private Owned 


• Public Owned 

Public Transport End Use Outlook 

• Intracity 


• Intercity 


• Others 

Public Transport Market Highlights:

• Public Transport Market Size
• Public Transport Market Trends
• Public Transport Market Analysis
• Public Transport Market Share

• US Public Transport Market

• Public Transport Companies

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