North America Bus Market Size, Share and Report | 2025-2034

North America Bus Market Outlook

The North America bus market reached a volume of 59.48 thousand units in 2024. Supported by the growing demand for public and commercial transportation, advancements in electric and autonomous mobility technologies, and increasing government investments in sustainable transport infrastructure, According to the report by Expert Market Research (EMR), the market is projected to grow at a CAGR of 2.60% during the forecast period of 2025-2034, reaching approximately 76.89 thousand units by 2034.

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Buses play a critical role in the public transportation systems of North America, particularly in urban and suburban areas where they provide an efficient and economical mode of transport. They are also essential in the intercity travel, school transportation, and tourism sectors. The market includes various types of buses, such as diesel-powered, hybrid, electric, and compressed natural gas (CNG) buses, with the electric segment witnessing robust growth owing to environmental considerations and supportive policies.

Market Size and Share

The North America bus market comprises a diverse landscape of manufacturers and service providers, with a significant presence in the United States, followed by Canada and Mexico. In 2024, the United States accounted for the largest share of the market due to its extensive urban transit networks, sizeable school bus fleet, and federal and state investments in green transportation initiatives. Canada also presents a considerable market, driven by urban expansion and sustainability commitments, while Mexico is showing gradual improvements in bus infrastructure and fleet modernization.

Electric buses are gaining traction across all three countries, contributing to a rising share in the overall market. The growth of school and transit bus categories continues to dominate, while the tourism and shuttle bus segments show steady demand recovery post-pandemic.

North America Bus Market Trends

A prominent trend shaping the North America bus market is the increasing adoption of electric and zero-emission buses. Urban centers are prioritizing environmental sustainability, prompting transit authorities to replace conventional diesel fleets with electric alternatives. The deployment of electric buses is supported by incentives such as the U.S. Federal Transit Administration's Low or No Emission Vehicle Program, which funds the purchase of electric buses and related infrastructure.

Another trend is the integration of smart technologies and telematics. Modern buses are increasingly equipped with GPS tracking, passenger information systems, automated fare collection, and driver assistance technologies. These innovations improve operational efficiency, safety, and the passenger experience.

Additionally, the advancement of autonomous bus technology is being closely monitored in the region. While fully autonomous commercial deployment is still in developmental phases, pilot projects and regulatory frameworks are underway, indicating a long-term shift towards automated public transport solutions.

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Drivers of Growth

Several factors are driving the growth of the North America bus market. The increasing emphasis on sustainable mobility is prompting both public and private transport operators to invest in eco-friendly buses. The growing population and urbanization in North America have heightened the need for efficient mass transit solutions, further accelerating bus fleet expansion.

Government initiatives play a pivotal role in market growth. Numerous federal and state-level programs provide funding for public transportation, fleet modernization, and electric vehicle (EV) adoption. Moreover, infrastructure investments under initiatives like the Bipartisan Infrastructure Law in the United States are enhancing transit networks and enabling fleet upgrades.

The demand for school buses also contributes significantly to market growth, especially in the United States where the school bus fleet is among the largest in the world. The regular replacement cycles and increasing focus on student safety further stimulate demand.

Technology and Advancement

The bus industry in North America is experiencing technological transformation. Electric drivetrains, battery management systems, regenerative braking, and fast-charging technologies are increasingly being integrated into new models. The transition to electric buses is being supported by the development of charging infrastructure, both depot-based and en route.

Manufacturers are also incorporating advanced safety features, including automatic emergency braking, lane departure warnings, and pedestrian detection systems. These features enhance road safety and ensure compliance with stringent transportation regulations.

Furthermore, digitization is reshaping operations and passenger services. Transit agencies are leveraging data analytics, predictive maintenance tools, and mobility-as-a-service (MaaS) platforms to improve performance and user convenience.

North America Bus Market Segmentation

The market can be divided based on fuel type, bus type, length, body type and region.

Market Breakup by Fuel Type

Diesel
Electric / Hybrid
CNG
Fuel Cell
Others

Market Breakup by Bus Type

Intercity Bus
Intracity Bus

Market Breakup by Length

Up to 6 Meter
6 -8 Meter
8 - 10 Meter
12 Meter
18 Meter

Market Breakup by Body Type

Fully Built
Customisable Body

Market Breakup by Region

United States
Canada

Industry Key Players

Some of the major players explored in the report by Expert Market Research are as follows:

Daimler Truck AG
AB Volvo
MAN SE
Marcopolo S.A.
Navistar, Inc.
Proterra
NFI Group
Blue Bird Corporation
Rev Group
Others

North America Bus Market Forecast

The North America bus market is poised for steady growth over the next decade. With governments reinforcing their commitment to clean energy and sustainable transport, the penetration of electric and hybrid buses is expected to rise substantially. Technological progress, increased investments in public transportation infrastructure, and a focus on passenger safety and comfort will be key factors shaping the future of the market.

By 2034, the market is anticipated to reach a volume of 76.89 thousand units, underscoring the gradual yet consistent shift towards greener, smarter, and more efficient bus transportation across North America.

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