South America Bus Market to Grow with a CAGR of 6.15% through 2030
Rising investments in public transportation, growing urban population,
and increasing government focus on low-emission mass transit solutions are the
factors driving the market in the forecast period 2026–2030.
According to TechSci Research report, “South America Bus Market –
Industry Size, Share, Trends, Opportunity, and Forecast, 2020-2030F”,
The South America Bus Market was valued at USD 2.48 Billion in 2024 and is
expected to reach USD 3.55 Billion by 2030 with a CAGR of 6.15% during the
forecast period.
The South America bus market is undergoing a significant transformation
shaped by economic diversification, evolving commuter behavior, and increased
emphasis on cost optimization across public transport systems. Population
growth, coupled with shifting employment zones, has led to a rising need for
scalable mobility networks that can adapt to complex urban and peri-urban
travel patterns. Governments are placing stronger focus on multimodal
integration, where buses serve as the connective backbone linking metro
systems, BRT corridors, and last-mile solutions. Rising fuel prices and
inflationary pressure have intensified demand for operationally cost-effective
transit solutions, prompting fleet operators to reevaluate lifecycle costs,
maintenance models, and procurement strategies.
Digitalization has emerged as a key enabler in this market, with route
optimization, fleet tracking, and real-time passenger information systems
improving service efficiency and reliability. Growing emphasis on safety,
accessibility, and inclusivity is prompting redesigns in bus configurations to
better serve diverse user groups, including students, elderly passengers, and
rural commuters.
Browse over XX market data Figures spread through XX Pages and an
in-depth TOC on "South America Bus Market"
South
America Bus Market Is Segmented by Application, Length, Seating Capacity,
Propulsion, and Country.
The fastest-growing
segment in 2024 across South America's bus market was electric propulsion,
which experienced a sharp rise in adoption as cities prioritized cleaner,
quieter, and more energy-efficient mobility solutions. Battery electric buses
saw the highest demand, supported by their ability to lower fuel costs, reduce
emissions, and align with evolving public sustainability goals. Urban transport
agencies increasingly selected electric models over traditional internal
combustion engine buses due to rising fuel prices, growing environmental
awareness, and favorable total cost of ownership over the vehicle lifecycle.
Fleet operators responded to policy shifts by accelerating replacement of
diesel models with battery-powered alternatives, especially in high-density
transit corridors. Improvements in charging infrastructure, battery
performance, and localized manufacturing capabilities further supported this
growth. Municipalities emphasized long-term benefits such as lower maintenance
needs, better urban air quality, and reduced noise pollution, reinforcing
electric buses as the preferred choice for fleet modernization in 2024.
Chile recorded the most
significant growth in electric bus adoption during the year, driven by a
national commitment to fully electrify public transport. Santiago led
deployment efforts with extensive expansion of its electric bus network, backed
by coordinated procurement strategies and infrastructure development. Policy
clarity and strong institutional coordination enabled rapid execution of
tenders, resulting in significant new fleet orders and large-scale upgrades to
transit depots and terminals. The country’s clear roadmap for decarbonization,
combined with urban mobility priorities and a focus on long-term cost savings,
positioned it ahead of other South American nations. The transition in Chile
reflected not just environmental ambition, but also a systematic approach to
transport modernization aligned with national development objectives.
Major Market
Players Operating in South America Bus Market Are:
- Anhui
Ankai Automobile Co. Ltd
- Ashok
Leyland Limited
- Byd Auto
Industry Company Limited
- Daimler
Truck Holding AG
- King
Long United Automotive Industry Co. Ltd.
- NFI
Group Inc.
- Proterra
INC.
- Tata
Motors Limited
- Volvo
Group
- Zhengzhou
Yutong Bus Co. Ltd
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“The South America bus market is
going through a fascinating transition. We’re seeing not just a shift in
propulsion technologies, but a deeper change in how cities across the region
approach public mobility. It’s no longer just about moving people—it’s about
doing it cleaner, smarter, and more efficiently. The growing focus on
electrification, multimodal integration, and data-driven operations shows that
urban transport is evolving into a more strategic pillar of development. What’s
really exciting is how different countries are aligning investment, policy, and
infrastructure in ways that could make South America a global reference point
for sustainable bus transit.”, said Mr. Karan Chechi, Research Director of
TechSci Research, a research-based global management consulting firm.
“South America Bus Market –
Size, Share, Trends, Opportunity, and Forecast, Segmented By Application
(Transit Buses, Motor Coaches, School Buses/Others), By Length (6-8m, 8-10m,
10-12m, Above 12m), By Seating Capacity (15-30, 30-40, 40-50, Above 50), By Seating
Propulsion (ICE, Electric), By Country, By Competition, 2020-2030F”, assesses the market's future
growth potential and provides data on market size, trends, and forecasts. It
aims to offer comprehensive market insights, helping decision-makers make
informed investment choices. The report also highlights emerging trends, key
drivers, challenges, and opportunities in the South America Bus Market.
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