Minibus Market Size

Minibus Market size was USD 10.7 billion in 2024 and is estimated to reach USD 18.4 billion by the end of 2037, expanding at a CAGR of 4.3% during the forecast period, i.e., 2025-2037. In 2025, the industry size of minibus is assessed at USD 11.1 billion.

The minibus market is primarily driven by the exponential growth in the commercial passenger vehicle (CPV) segment. Motor vehicle production grew by 29% in 2022 in the European Union and the U.S. observed a 10% rise in the same year, as per the International Organization of Motor Vehicle Manufacturers (OICA) statistics. This has led to a subsequent rise in overall energy consumption. The U.S. Department of Transportation states that the 2023 energy consumption in transportation amounted to 27.96 quadrillion British thermal units (Btu), signifying an increase from 24.45 quadrillion Btu in 2020.

The alarming rise in passenger vehicle tailpipe emissions of 8,887 grams of CO₂/gallon and a yearly footprint of 4.6 metric tons of CO2 per vehicle has resulted in a shift toward PHEV minibuses in the CPV segment. Several governments across the world are implementing strict regulations on carbon emissions, which is driving the adoption of electric vehicles including minibuses. E-buses are emerging as the most eco-friendly mode of mobility for public transportation, which substantially aids in mitigating carbon footprint. European countries such as Norway, Belgium, Switzerland, and China are witnessing high adoption of city bus electrification.

For instance, the International Energy Agency (IEA) revealed that in 2023, China, Norway, Belgium, and Switzerland collectively accounted for 50% of electric bus sales. Also, in Chile, the Netherlands, Finland, Portugal, Poland, Sweden, and Canada over one-fifth of sales were of electric buses. These statistics highlight the increasing adoption of electric buses for transportation, which also aids in estimating how lucrative opportunities are present for e-minibus manufacturers.