Minibus Industry - Regional Synopsis
Asia Pacific Market Forecast
Asia Pacific industry is expected to account for largest revenue share of 47.8% by 2037. The supportive government policies on public transportation, infrastructure development projects such as smart cities, and strict regulations on greenhouse gas emissions are fuelling the sales of minibuses in the region.
In India, the government’s increasing investment in the electrification of vehicles is pushing the demand for e-minibuses. According to the India Brand Equity Foundation report, around 36.5 million people in the country make use of public transport services daily. In 2022, an estimated 5,60,493 electric vehicles were sold in India, out of which 0.2% were e-buses. Even if the share of e-buses is minor, they are substantially aiding the country in achieving its target of reducing carbon intensity by 45% by 2030.
China’s high investment in enhancing the public transportation service and strict regulations on carbon emissions are driving the sales of electric minibuses. For instance, according to the report by the International Council on Clean Transportation around 1,38,00 electric buses were sold in China, in 2022. In the same year, the country exported more than 6,17,000 e-buses across Egypt, Peru, Chile, Ecuador, and Vietnam. These statistics underscore the high production and sales of China-made e-buses including large, medium, and minibuses.
North America Market Statistics
The North America minibus market is foreseen to expand at a high pace during the projected period. The strong presence of auto manufacturers, continuous advancements in autonomous vehicle technologies, and high adoption of electric vehicles are pushing the sales of minibuses. The U.S. is anticipated to hold a major share of the North America minibus market, while the minibus sales in Canada are expected to increase at a swift CAGR through 2037.
In the U.S., the government is focusing on strengthening its transit manufacturing industry and for that, it is investing heavily in the production of American-made buses. For instance, in July 2024, the U.S. Department of Transportation's Federal Transit Administration (FTA) announced an investment of USD 1.5 million to support 117 projects, which are aimed at enhancing public transportation in 47 states. Such investments are opening profitable opportunities for minibus manufacturers in the country to maximize their revenues.
In Canada, the presence of top tourist destinations and high tourist visits are increasing the use of minibuses for travelling purposes including sightseeing, airport transfers, and guided tours. Tourists from Asia and Europe often travel in a group and book minibuses to travel across all destinations. Thus, the rising tourist activities are augmenting the use of minibuses in Canada.
