According to the research conducted by Future Market Insights, the hydrogen buses market is anticipated to rise at an astronomical CAGR of 31% during the forecast period. As per market estimates, the industry is likely to be worth USD 12,558.5 Million by 2033, up from USD 831 Million in 2023. Some of the prominent factors propelling the global hydrogen buses industry are:
| Attribute | Details |
|---|---|
| Hydrogen Buses Industry Size (2023) | USD 831 Million |
| Hydrogen Buses Industry Forecast Value (2033) | USD 12,558.5 Million |
| Hydrogen Buses Industry CAGR | 31% |
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Continuous development and supply of hydrogen buses via collaboration with local and central governments are expected to create opportunities for the players operating in the hydrogen buses market.
Many players are planning on extending their hydrogen-powered vehicles portfolio to go beyond hydrogen-powered buses. For example, Hyundai Motor Group aims to use hydrogen fuel cells in large vessels, Urban Air Mobility (UAM), and railways. Several players in the market are also actively participating in the development of hydrogen charging infrastructures to widen the market for hydrogen fuel cell vehicles.
The global hydrogen buses market grew from USD 311.8 Million to USD 641.1 Million between 2018 and 2022. The market witnessed healthy growth in recent years on account of an increase in the price of diesel and petrol.
This gave rise to the demand for alternative, fuel-efficient automobiles, such as hydrogen fuel cell buses. Further, the increasing interest in sustainable vehicles that release zero emissions and help curb the density of pollution in the air, especially in emerging economies, is creating lucrative opportunities for the key players.
Going forward, the market for hydrogen buses is estimated to attain USD 831 Million in 2023. Further, the market is assessed to grow at a meteoric CAGR of 31% between 2023 and 2033, to exceed USD 12,558.5 Million by 2033 end.
Principal Consultant
Europe is projected to attain a dominant share of the hydrogen buses market over the forecast period. One of the significant growth-inducing factors in the market is the high count of major hydrogen-powered bus manufacturers.
Additionally, the heightened awareness regarding the availability of the latest EV technologies and the increasing adoption of passenger hydrogen vehicles in the European region is propelling the market expansion of hydrogen buses.
Germany is forecast to demonstrate its significance in the sphere of hydrogen buses over the anticipated period and emerge as a major market worldwide. Recently, Ebusco supplied its first 90 Ebusco buses to the biggest public transport company in Germany. Competitors in the market are expected to follow suit so that companies can provide climate-neutral services across longer distances.
Surging agreements between companies pertaining to the supply of hydrogen-stored cylinders for hydrogen buses are favorably impacting the USA hydrogen buses market. For instance, New Flyer Canada ULC, North America’s biggest mass mobility solutions provider, and New Flyer of America Inc., partnered with Hexagon Purus for the second consecutive year to supply hydrogen storage cylinders for zero-emission, hydrogen fuel cell e-transit buses, which comes under the category of Xcelsior Charge H2 of New Flyer, in 2022. The high-pressure hydrogen stored cylinders will enable a driving range of over 350 miles/ 560 km in one refueling session.
New Flyer has been playing an active role in making transportation in North America emission-free by encouraging the growth of sustainable buses and their infrastructure across Canada and the USA In a mere one year, i.e., 2021, Hexagon Purus provided hydrogen systems/ cylinders for approximately 30 fuel cell buses of New Flyer. The collaboration of New Flyer and Hexagon Purus has been propelling the growth of hydrogen buses in North America.
The Asia Pacific region is anticipated to witness the fastest growth over the forthcoming years. The robust growth in the region can be credited to rapid population growth, rising demand for passenger buses, and swiftly expanding production scale, which are all propelling market expansion for hydrogen buses in the region.
Increasing government initiatives to realize the ‘Hydrogen Vision’ of the country to develop a self-reliant India by meeting weather change goals, creating employment in the respective sector, and promoting the adoption of clean energy, are collectively driving the hydrogen buses market in India. In August 2022, India’s first-ever indigenously produced Hydrogen fuel cell bus, backed by the Union Minister of State for Science and Technology, was revealed in Pune. The rising demand for eco-friendly modes of transportation is projected to facilitate the Indian hydrogen buses market in the coming years.
As per the estimates released by the China Association of Automobile Manufacturers (CAAM), China manufactured 1,742 units of hydrogen fuel cell automotive in 2021, an increase of 48.2% y-o-y. In the same year, 1,586 units of these vehicles were sold, representing an increase of 34.7% y-o-y. The growing demand for hydrogen fuel cell buses due to their high reliability, ability to be quickly refueled with hydrogen, and continuous and consistent driving capacity over long distances is resulting in a positive market outlook for hydrogen buses in China.
The hydrogen buses market in Japan is being stimulated by the favorable actions taken by the government to tackle global warming. For instance, Tokyo Metropolitan Government is promoting the use of hydrogen as a renewable energy source to charge vehicles, thus accomplishing the process of decarbonizing society. Tokyo, in partnership with the Fukushima region, intends to outfit 300+ buses with hydrogen fuel cells by 2030 end, thus making hydrogen-powered buses a norm in Tokyo.
With state funding of over 300 million won, South Korea’s Ministry of Environment has entered into a cooperation agreement with Hyundai Motor, Busan City, South Gyeongsang Province, and Ulsan City to adopt hydrogen buses. Additionally, in an initiative to achieve net zero CO2 emissions by 2050, Seoul, South Korea’s capital, is increasing the adoption of hydrogen and e-buses.
The capital is dedicated to operating over 1,000 hydrogen-powered buses and constructing 11 hydrogen charging stations by 2025 end. The aforementioned developments in South Korea are expected to propel market expansion over the forecast period.
The proton exchange membrane fuel cell technology is projected to witness tremendous growth over the forecast period. The swift growth of this segment can be attributed to its ability to convert chemical energy into electrical energy. This technology is suitable for fuel cell automotive and is the most requested fuel cell in the EV industry.
Based on power output, the <150 kW segment is forecast to grow at a rapid pace over the coming years. Fuel cells with a power output of less than 150 kW are highly requested in passenger vehicles, industrial cars, and buses. Thus, the increasing number of these automotive is rapidly propelling the sales rate of <150 kW fuel cells, consequently dominating the global market share.
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| Start-up Company | Hydrolux |
|---|---|
| Country | Canada |
| Description | Hydrolux offers hydrogen-powered buses, trucks, cars, and forklifts. The startup’s vehicles combine the low weight of vehicles running on diesel with the advantages of EVs. |
| Start-up Company | NanoSUN |
|---|---|
| Country | Britain |
| Description | The startup delivers solutions for hydrogen refueling. The FillSafe Fuelling Hoses developed by NanoSUN provide high-pressure refueling of EVs powered by hydrogen. These solutions are cost-effective, easy to use and install and prevent over-pressurization. |
| Start-up Company | Hymotiv |
|---|---|
| Country | India |
| Description | Hymotiv produces a hydrogen fuel cell EV. The technology utilized by the company includes hydrogen-propelled automobile propulsion systems, which can be retrofitted into fossil fuel-based vehicles. These systems enable clean and green energy solutions for heavy-duty vehicles, and passenger cars, as well as energy storage. |
| Start-up Company | KEYOU |
|---|---|
| Country | Germany |
| Description | KEYOU manufactures new engines for brand-new commercial vehicles. For this, the startup procures a base engine from OEM and reengineers it to make it run on hydrogen. |
With numerous players competing to bag a large share, the market is likely to remain fragmented over the forecast period. Since hydrogen buses have witnessed a rapid evolution in recent times, there is a high scope for innovation.
With the assistance of advanced technologies, market players further get an edge to project their products in the best light. As a result, product innovation is the default move of new players to compete with established players.
While the automotive sector stays guarded heavily with government compliance on reducing CO2 emissions, market players formulate strategies to work towards clean mobility. This trend is highly dominant among players operating in developed countries, especially European ones. All-in-all, new players ride on the waves of technology to strengthen their market hold and catapult towards advancement, while the established players seek to extend their services with the government and bring their products into the market on a large scale.
Recent developments that are shaping up the hydrogen buses market include:
| Attribute | Details |
|---|---|
| Forecast period | 2023 to 2033 |
| Historical data available for | 2018 to 2022 |
| Industry analysis | USD Million in value |
| Key regions covered | North America; Latin America; Eastern Europe; Western Europe; East Asia; South Asia & Pacific; Middle East and Africa |
| Key countries covered | USA, Germany, France, Italy, Canada, The United Kingdom, Spain, China, India, Australia |
| Key segments covered | By Technology, By Power Output, By Transit Bus Models, Region |
| Key companies profiled | Tata Motors Limited; Thor Industries; Hyundai; Ballard Power Systems; NovaBus Corporation; New Flyer Industries Ltd; EvoBus; New Flyer; Hino Motors Ltd.; SunLine Transit Agency |
| Report Coverage | Industry Forecast, Company Share Analysis, Industry Dynamics, Challenges, Competitive Landscape, Drivers, Restraints, Opportunities, and Threats Analysis, Strategic Growth Initiatives |
| Customization and Pricing |
Available upon request |
The hydrogen buses industry size is assessed to be USD 831 Million in 2023.
The hydrogen buses industry is expected to rapidly rise at a CAGR of 31% during the forecast period.
The global hydrogen buses industry is forecast to surpass USD 12,558.5 Million by 2033.
Europe is the major contributor to the market growth of hydrogen buses.
1. Executive Summary 2. Market Overview 3. Market Background 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Technology 5.1. Proton Exchange Membrane Fuel Cells 5.2. Direct Methanol Fuel Cells 5.3. Phosphoric Acid Fuel Cells 5.4. Zinc-Air Fuel Cells 5.5. Solid Oxide Fuel Cells 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Power Output 6.1. <150 KW 6.2. 150–250 KW 6.3. >250 KW 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Transit Bus Models 7.1. 30-Foot Transit Buses 7.2. 40-Foot Transit Buses 7.3. 60-Foot Transit Buses 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region 8.1. North America 8.2. Latin America 8.3. Europe 8.4. Asia Pacific 8.5. Middle East and Africa (MEA) 9. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 10. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 11. Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 12. Asia Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 13. MEA Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country 14. Key Countries Market Analysis 15. Market Structure Analysis 16. Competition Analysis 16.1. Tata Motors Limited 16.2. Thor Industries 16.3. Hyundai 16.4. New Flyer Industries Ltd 16.5. Ballard Power Systems 16.6. NovaBus Corporation 16.7. EvoBus 16.8. Toyota Motor Corporation 16.9. Hino Motors Ltd. 16.10. SunLine Transit Agency 17. Assumptions & Acronyms Used 18. Research Methodology
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Hydrogen Buses Market
