Market Research Report
Electric Bus Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)
|Electric Bus Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)|
Published: July 1, 2021
Mordor Intelligence Pvt Ltd
Content info: 110 Pages
Delivery time: 2-3 business days
The Electric bus market was valued at USD 32 billion in 2020 and is anticipated to reach USD 64 billion by 2026 at a CAGR of about 12.44%, during the forecast period (2021-2026).
The covid-19 pandemic has affected the automotive industry and significantly electric vehicles by triggering an unprecedented fall in sales in early 2020. To curb the spread of coronavirus, manufacturing operations and transportation have come to halt along with public transportation.
The electric bus market is driven by factors such as increase in demand for fuel-efficient, high-performance, and low-emission buses, stringent government rules & regulations toward vehicle emission, and reduction in battery prices. However, high manufacturing cost, and low fuel economy & serviceability restrict the market growth.
Moreover, technological advancements, and proactive government initiatives for adoption of e-buses creates lucrative growth opportunities for the market. The market in Asia Pacific is projected to experience the fastest growth owing to the high demand of electric buses from countries such China, Japan, South Korea and India. Further, China has introduced many electric buses to reduce vehicle emissions.
Favorable policies and consistent new orders for electric buses would drive the Indian electric bus market in the upcoming years. European and North American market are growing due to increase in demand of emission free public transport and favorable government policies for electric vehicles.
Transit agencies across various countries have been significantly promoting the adoption of electric buses for public transportation. Among the regions, Asia-Pacific and North America are likely to show high adoption rates of battery-electric buses during the forecast period, owing to their on-going purchase orders for e-buses. For instance,
Not only various cities are adding electric buses in their fleet, but major investment has been seen by the governments for research and development of these buses. For instance,
In Asia-Pacific, China is the largest manufacturer and consumer of e-buses in the world. The country's domestic demand has been supported by the national sales targets, favorable laws, supportive subsidies, and municipal air-quality targets.
During the forecast period, China may continue to witness growth in the adoption of electric buses, as more than 30 Chinese cities have made plans to achieve 100% electrified public transit by the start of 2021, including Guangzhou, Zhuhai, Dongguan, Foshan, and Zhongshan in the Pearl River Delta, along with Nanjing, Hangzhou, Shaanxi, and Shandong.
Major Chinese e-bus suppliers are expanding their market presence outside China with the increasing electric bus deployment around the world. In 2020, Chinese bus makers sold around 61,000 new energy buses, whereas the total bus production in China accounted for around 150,000 units. For instance,
The market for electric buses is slightly consolidated, with the presence of major Chinese players that cater to the requirements global requirements. Some of the prominent players in the market are Volvo Group, Daimler AG, BYD Auto Co., Ltd, and Zhengzhou Yutong Bus Co., Ltd. among others. These companies adopt strategies such as new product developments, collaborations, and contracts & agreements to sustain their market position. For instance,