Electric bus Market Outlook:
Electric bus Market size was over USD 34.3 billion in 2025 and is anticipated to cross USD 119.56 billion by 2035, witnessing more than 13.3% CAGR during the forecast period i.e., between 2026-2035. In the year 2026, the industry size of electric bus is assessed at USD 38.41 billion.
The surge in demand for hydrogen fuel cells for their integration in e-buses is a major factor fostering the growth of the market. According to Research Nester, the hydrogen fuel cell industry is predicted to recod significant revenue during the forecast period. These cells act as alternatives to battery electric vehicles, as they are capable of offering faster refueling times, which makes them suitable for long-haul trucking and heavy-duty vehicles. These developments are opening new opportunities for the electric bus industry.
Organizations are taking crucial steps to protect the environment and are forming strategic alliances to curb carbon emissions by coming out with new eco-friendly passenger vehicles. For instance, in March 2025, EKA Mobility partnered with KPIT Technologies and Bharat Petroleum Corporation Limited to deploy a new 9-meter hydrogen fuel-based bus at Cochin International Airport in Kerala. The vehicle comes with a capacity to carry 30 passengers and a three-year operational life. Such initiatives by companies are catering to a clean mobility ecosystem, further propelling the market expansion.
