Market Size of United States School Bus Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 4.77 Billion |
| Market Size (2029) | USD 6.01 Billion |
| CAGR (2024 - 2029) | 4.74 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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US School Bus Market Analysis
The United States School Bus Market size is estimated at USD 4.77 billion in 2024, and is expected to reach USD 6.01 billion by 2029, growing at a CAGR of 4.74% during the forecast period (2024-2029).
With increasing government focus on the electrification of school buses in many states, the demand for electric school buses grew rapidly over the past few years. In many developed and developing nations, school buses play an integral role in transporting students, saving a considerable amount of money for parents, and reducing traffic on the roads. The US school bus fleet is the country's largest public transportation fleet, with two and a half times more of the number of vehicles than all other forms of mass transportation combined. Around 26 million children take 480,000 buses to and from school each day.
More than 95% of the school buses in the country run on fossil fuels, especially diesel. Numerous studies worldwide showed that inhaling diesel exhaust causes respiratory diseases and worsens existing conditions like asthma. These adverse effects are pronounced, especially in children, who are the main commuters. Therefore, replacing all school buses in America with electric buses may avoid an average of 5.3 million metric tons of greenhouse gas emissions each year.
Apart from the factors mentioned above, the country's government is also pushing toward converting its school bus fleet to electric, which is anticipated to propel the market. For instance,
- In July 2023, Blue Bird Corp. unveiled its next-generation Vision electric school bus at an industry and technology event in Reno, Nevada. The electric powertrain supplied by Cummins' new zero-emissions technology business segment, Accelera by Cummins, is highlighted in the Vision vehicle launch. The next-generation electric school buses from Blue Bird will be built in Fort Valley, Georgia.
- In December 2022, Lion Electric Co. announced the delivery of its first LionC zero-emission school bus to Mount Desert School System in Bar Harbor, Maine, through the US Environmental Protection Agency's (EPA) Clean School Bus Program. The Lion bus was constructed at the company's newly opened factory in Joliet, Illinois, which will initially focus on producing all-electric school buses.
Owing to such factors above and developments, the growing evolution of electric mobility and its adoption across the school bus fleet is anticipated to support the overall growth of the market during the forecast period.
