Market Overview:

The Bus Market is experiencing steady expansion, driven by Rising Urbanization and Government Investments in Public Transport Infrastructure, Growing Availability of Electric Autonomous Buses, Rising Focus on Passenger Comfort in Public Transportation. According to IMARC Group's latest research publication, "Bus Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2026-2034", The global bus market size was valued at USD 53.42 Billion in 2025. Looking forward, IMARC Group estimates the market to reach USD 91.26 Billion by 2034, exhibiting a CAGR of 5.82% from 2026-2034

This detailed analysis primarily encompasses industry size, business trends, market share, key growth factors, and regional forecasts. The report offers a comprehensive overview and integrates research findings, market assessments, and data from different sources. It also includes pivotal market dynamics like drivers and challenges, while also highlighting growth opportunities, financial insights, technological improvements, emerging trends, and innovations. Besides this, the report provides regional market evaluation, along with a competitive landscape analysis.

Download a sample PDF of this report: https://www.imarcgroup.com/Bus-Market/requestsample

Our Report Includes:

• Market Dynamics
• Market Trends and Outlook
• Competitive Analysis
• Industry Segmentation
• Strategic Recommendations

Growth Factors in the Bus Industry:

• Rising Urbanization and Government Investments in Public Transport Infrastructure

Increased urbanization and governments investing in greener forms of transportation are encouraging growth in the worldwide bus market. Cities are looking to public transport to solve problems of congestion, air quality and fuel costs, thus expanding their public transport systems. Government funding is being used to accelerate the rollout of new buses, smart ticketing systems and electric charging infrastructure. Examples include India's FAME II scheme and the European Union's Clean Bus Deployment Initiative where cities can adopt cleaner buses. There is a growing need for bus systems as smart cities and sustainable development projects become higher priorities in developed and developing countries.

• Growing Availability of Electric Autonomous Buses

With the increasing number of electric autonomous buses, the global bus industry is being transformed as automated and clean energy technologies are making public transport more sustainable and efficient. Prototypes are being developed with improved functions such as artificial intelligence (AI), LiDAR, and V2X communication to make autonomous driving safer. Countries such as China and Germany have been running fleets of electric autonomous buses along urban routes to reduce pollution and costs and to reduce manning of these buses. As driverless technology continues in development it is expected that driverless buses will play an increasing role in the public transport network.

• Rising Focus on Passenger Comfort in Public Transportation

Traveler expectations are changing so bus manufacturers and operators have made efforts toward more comfortable travel for users over the years. This includes ergonomic seats, better suspension, digital entertainment, and up-to-date route information. Air filtration systems, Wi-Fi, quiet electric trams, low-flushed access and other accommodations for differently-abled persons bringing public transport stations and buses up to date. Companies such as BYD, Volvo and others introduce advanced climate control systems, and safety features such as airbags and supported features, transforming customary buses into a modern means of transportation. The technology makes getting to work more accessible and more enjoyable.

Key Trends in the Bus Market

•  Increasing Popularity of Mobility-as-a-Service (MaaS)

In more recent years, buses have become a key component of Mobility as a Service (MaaS) systems in which multiple transport modes and services including buses, trains, ride-hailing and micro-mobility are brought together under one digital platform that allows users to plan, book and pay for their travel via a mobile app. Governments and transport operators are backing these systems as a way to help passengers switch away from car travel. In Helsinki, Singapore and elsewhere, buses have been integrated into MaaS networks, where they provide real-time position information and demand responsive routing. The convenience that MaaS provides is supporting increased uptake of public transport and the modernization of bus networks worldwide.

• Integration of Smart Technologies and Digital Solutions

Smart technologies developed, the Internet of Things (IoT) grew, and the connected bus developed into allowing the bus industry to digitalize. Features analyze artificial intelligence, monitor real-time fleets, and ticket contactlessly and predictively for improved passenger experience and operational efficiency. Fleet operators use AI data more to optimize routes and fuel costs and maintenance. An example in London is TfL. It uses predictive analytics to monitor and manage bus performance and service reliability. For digital transformation, cities strive as smart technologies are redefining the role that buses play in mobility systems.

• Expansion of Electric and Hybrid Bus Adoption

The shift toward sustainable transport leads to introducing electric and hybrid buses. Governments provide incentives like tax credits and subsidies for bus fleets to electrify. Proterra, Yutong, and Daimler are proponents, and Daimler grows its offerings of electric buses with longer range and faster charging. Batteries get technological improvements, so electric buses compete better on cost with diesel buses. Cities such as Paris, Shenzhen and Los Angeles pledged to transition their whole bus fleet which includes all buses to zero-emission within the next few years. These pledges strongly drive the trend toward electrification in the sector.

Leading Companies Operating in the Global Bus Industry:

• AB Volvo
• Anhui Ankai Automobile Co. Ltd.
• Ashok Leyland (Hinduja Group)
• BYD Company Ltd.
• IVECO S.p.A
• Mercedes-Benz Group AG
• NFI Group
• Solaris Bus & Coach sp. z o.o. (Construcciones y Auxiliar de Ferrocarriles S.A.)
• Suzhou Eagle Electric Vehicle Manufacturing Co. Ltd.
• Tata Motors Limited
• Traton Group (Volkswagen AG)
• Xiamen King Long United Automotive Industry Co. Ltd.
• Zhengzhou Yutong Bus Co. Ltd.

Bus Market Report Segmentation:

Breakup by Type:

• Single Deck
• Double Deck

Single-deck buses hold a leading 65% market share in 2024, fueled by their widespread use in city and suburban public transportation due to their compact size, fuel efficiency, and affordability.

Breakup by Fuel Type:

• Diesel
• Electric and Hybrid
• Others

The diesel bus has a 70% market share by 2024 and continues to be the best choice because they have an installed fueling base, long operating range, and are cost-saving.

Breakup by Seat Capacity:

• 15-30 Seats
• 31-50 Seats
• More than 50 Seats

Buses with 31-50 seat passengers claim a 55% market share in 2024, as they provide the perfect blend of passenger capacity and operational versatility.

Breakup by Application:

• Transit Bus
• Intercity/Coaches
• Others

Transit bus dominate the market with a 60% market share in 2024 due to increasing investment in public transit to facilitate urban mobility.

Breakup by Region:

• Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, Others)
• North America (United States, Canada)
• Europe (Germany, France, United Kingdom, Italy, Spain, Russia, Others)
• Latin America (Brazil, Mexico, Others)
• Middle East and Africa

Asia-Pacific is the leading region in the world bus market, commanding a 40% market share in 2024, driven by increased urbanization, huge government spending, and robust local manufacturing capacity.

Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.

About Us:

IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.

Contact Us:

IMARC Group

134 N 4th St. Brooklyn, NY 11249, USA

Email: sales@imarcgroup.com

Tel No:(D) +91 120 433 0800

United States: +1–201971–6302