Canada Electric Bus Market 2022-2028, 2021 VS 2028

Canada Electric Bus Market 2022-2028, 2021 VS 2028

Canada electric bus market was valued at $12.6 million in 2021, which is projected to reach $41.5 million in 2028, growing at a CAGR of 21.0% during the forecast period. The favorable support from the government across the country through various initiatives and schemes tend to drive the growth of the Canada electric bus market. For instance, Ottawa plans to become 1st Canadian city with a fully electric bus fleet by 2036 through a proposed deal with the Canada Infrastructure Bank (CIB) and the federal government. OC Transpo plans to use initial funding commitments from the feds’ electric bus fund to purchase an additional 74 40-foot zero-emission buses in 2021. The transit agency will include the proposal in its 2022 budget plans, with these buses starting service in 2028 if approved.

Segmental Analysis

Canada electric bus market is segmented on the basis of bus type, battery type, and end-user. Based on the bus type, the market is segmented into battery electric bus and hybrid electric bus. Based on battery type, the market is bifurcated into Li-Ion battery and others. Further, based on end-user, the market is segmented into government and fleet operator.

Among batteries, Li-Ion battery dominated the market with 96.8% of share and generated $12.2 million in 2021. This value is further projected to reach around $40.7 million in 2028, growing at a CAGR of 21.3% during the forecast period. Li-ion battery is cost-effective solution as compared to other batteries. In addition, these batteries offer better performance than other batteries and hence are majorly preferred.

Market Players

Proterra Inc., BYD Co. Ltd., COBUS Industries GmbH, Cummins Inc, and GILLIG LLC are some of the key players operating in the Canadian electric bus market. These players are actively adopting strategies such as mergers and acquisitions, geographical expansion, and new product launches to stay competitive in the market. For instance, in June 2021, BYD Co. Ltd. expanded its North American operations with the opening of its first bus assembly plant in Ontario, Canada.