| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 5.33 Billion |
| Market Size (2030) | USD 6.64 Billion |
| CAGR (2025 - 2030) | 4.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Europe Bus Market Analysis
The Europe Bus Market size is estimated at USD 5.33 billion in 2025, and is expected to reach USD 6.64 billion by 2030, at a CAGR of 4.5% during the forecast period (2025-2030).
Over the long term, factors such as an increase in the adoption of electric buses, rising urbanization, stringent emission regulations, and deployment of autonomous technologies in buses drive the bus market in Europe. For instance, in October 2023, India-based electric bus maker JBM Electric Vehicles presented two of its latest e-bus products at the ongoing Busworld Europe 2023 expo in Brussels.
Clean technologies in public transportation are more and more needed in the current scenario to cope with air pollution in urban areas. The demand for electric buses in Europe has augmented dramatically over the last decade.
As cities and urban areas continue to expand, the need for efficient and sustainable public transportation systems becomes crucial. Buses play a vital role in meeting this demand, offering a cost-effective solution for mass transit. Governments and city authorities are investing in bus fleet expansion and modernization to improve public transportation infrastructure and reduce congestion and emissions.
In 2023, the United Kingdom government announced to spend USD 61 billion on public transport system and help the country meet its net zero goals. Thus, the above factors, combined with advances in transportation systems, will drive market growth.
Europe Bus Market Trends
Battery Electric Bus is Expected to Witness Highest Growth
Electric public transportation buses are mostly in cities around the Europe region. It stands out for the large number of electric vehicles produced, exported, and used in its transport systems.
In recent years, the central government has been focusing on the launch of various support policies and supply chain advancement coupled with skilled forces to gain technological breakthroughs in the new energy bus segment. Supportive policies such as subsidies for purchasing and operating battery electric buses, various tax reductions, and subsidies to increase the use of electric buses over gasoline-operated buses. Throughout Europe, including the UK, zero-emission buses are growing constantly as used in public transport systems.
In October 2023, At Busworld Europe, Yutong will display four models, namely the U11DD double-decker, the large-capacity articulated U18, the E7S mini-electric bus, and the luxurious 15-metre-long T15E coach.
Battery Electric Buses are considered zero-emission vehicles since they have no exhaust emissions. The shift to battery electric buses, in particular, will help to reduce greenhouse gas emissions in Europe as the transportation sector is one of the largest contributors to greenhouse gases.
According to the International Energy Agency, battery electric buses running off Europe’s grid mix between 2021 and 2040 will bring a reduction of 75% in carbon emissions.
Completely battery electric buses offer various advantages, such as battery electric buses incur much lower costs in terms of care and maintenance. Another plus point is that electric motors not only produce fewer exhaust gases but also a lower noise level.
Moreover, to achieve the goals of net emissions, companies are also focusing on sustainable transportation mobility.
For instance, in October 2023, the Scania battery-electric bus platform, which is a part of the company's comprehensive e-mobility solutions encompassing vehicles, services, and systems, made its debut at Busworld, Europe. It introduced low-entry 4x2 buses equipped with sustainably sourced and built batteries, offering an extensive energy storage capacity of up to 520 kWh.
In terms of electrification types, BEBs are the largest component of new energy commercial vehicles, with new vehicle sales increasing year by year. Thus making battery electric buses hold the highest share.
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Double Deck Type Holds Highest Share
A double-decker bus is a type of public transit vehicle that has two levels of seating, with the second level typically accessible through an internal staircase. These buses are known for their iconic design and are commonly used for sightseeing tours and public transportation in cities around the world.
The future outlook of the double-decker bus market is positive, as it is expected to grow at a significant rate. One of the major factors driving this growth is the increasing demand for efficient and sustainable transportation solutions in urban areas. Double-decker buses provide a higher seating capacity, thus helping to address the issue of overcrowding in cities.
In November 2023, Alexander Dennis (ADL) launched its next generation of battery-electric buses for the UK and Ireland with the unveiling of the new Enviro100EV small bus and Enviro400EV double-decker.
The buses also offer a broad field of vision, using low floors with single-step access as well as front and rear swinging doors. In addition, they are fitted with a wheelchair area and boarding/debarkation ramps, offering maximum accessibility to passengers with various special needs.
Considering the high demand for double-decker buses, manufacturers and various governments are focusing on expanding their fleet size and launching new models.
In May 2023, Cambridge’s bus network announced the launch of services that are part of a USD 19 million investment into 30 zero-emissions buses by deploying electric double-decker buses into service at the Madingley, Trumpington, and Newmarket Road Park and Ride sites.
Moreover, the growing number of various charging infrastructures in the countries of Europe will boost the sales of electric buses. Thus making double-decker bus to hold the highest share in the future.
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Europe Bus Industry Overview
Europe's bus market is consolidated and led by globally and regionally established players. The companies adopt strategies such as new product launches, collaborations, and mergers to sustain their market positions. For instance
In September 2023, Altas Auto and Zhongtong entered a partnership for e-midibus production in Europe.
In April 2023, Volvo Bus announced the next step in its bus production future by signing a letter of intent with Egyptian MCV for the production of electric buses for the European market.
Some of the major players in the market include Volvo Buses, Mercedes Benz Group AG, Solaris Bus & Coaches, MAN Truck & Bus, and BYD Company Limited.
Europe Bus Market Leaders
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Volvo Buses
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Mercedes Benz Group AG
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Solaris Bus & Coaches
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MAN Truck & Bus
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BYD Company Limited.
- *Disclaimer: Major Players sorted in no particular order
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Europe Bus Market News
- June 2023: Eleven 12-meter BYD electric buses were deployed in Zalaegerszeg, Hungary. The project, which included the installation of charging infrastructure valued at HUF 2.1 billion (USD 6,150,962), was done in collaboration with Volánbusz, one of Hungary’s largest public transport operators, and the HUMDA (Hungarian Motorsport Development Agency) Green Bus Program.
- October 2023: MAN Truck & Bus presented the world premiere of its Lion’s City 12 E LE and Lion’s Intercity LE 14 low-entry buses at Busworld Europe.
- October 2023: Indian electric bus maker JBM Electric Vehicles presented two of its latest e-bus products at the ongoing Busworld Europe 2023 expo in Brussels, Belgium, thus marking the company's foray into the European Union region with its tailored-made solutions for mass e-mobility ecosystem.
Europe Bus Industry Segmentation
The bus plays an important part in the transportation industry, catering to various passenger transportation needs. Buses serve as an efficient mode of transportation for both urban and intercity travel, school transportation, tourism, and more.
The European bus market is segmented by deck type, application, fuel type, seating capacity, length, and country. By deck type, the market is segmented into single and double. By application, the market is segmented into transit buses, intercity buses, motorcoaches, school buses, and other applications. By fuel type, the market is segmented into diesel, battery electric, plug-in hybrid, fuel cell electric, and other fuel types. By seating capacity, the market is segmented into up to 30 seats, 31–50 seats, and more than 50 seats. By length, the market is segmented into up to 9 meters, 9–12 meters, and more than 12 meters. By country, the market is segmented into Germany, the United Kingdom, France, Russia, Spain, and the Rest of Europe.
The report offers market size and forecasts for the Europe bus market in value (USD) and volume (units) for all the above segments.
| Deck Type | Single |
| Double | |
| Application | Transit Bus |
| Intercity Bus/Motorcoaches | |
| School Bus | |
| Other Applications | |
| Fuel Type | Diesel |
| Battery Electric | |
| Plug-in Hybrid | |
| Fuel Cell Electric | |
| Other Fuel Types | |
| Seating Capacity | Up to 30 seats |
| 31-50 seats | |
| more than 50 seats | |
| Length | up to 9 meters |
| 9-12 meters | |
| more than 12 meters | |
| Country | Germany |
| France | |
| United Kingdom | |
| Spain | |
| Rest of Europe |
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Europe Bus Market Research Faqs
How big is the Europe Bus Market?
The Europe Bus Market size is expected to reach USD 5.33 billion in 2025 and grow at a CAGR of 4.5% to reach USD 6.64 billion by 2030.
What is the current Europe Bus Market size?
In 2025, the Europe Bus Market size is expected to reach USD 5.33 billion.
Who are the key players in Europe Bus Market?
Volvo Buses, Mercedes Benz Group AG, Solaris Bus & Coaches, MAN Truck & Bus and BYD Company Limited. are the major companies operating in the Europe Bus Market.
What years does this Europe Bus Market cover, and what was the market size in 2024?
In 2024, the Europe Bus Market size was estimated at USD 5.09 billion. The report covers the Europe Bus Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Europe Bus Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Europe Bus Industry Report
Statistics for the 2025 Europe Bus market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Bus analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
