Electric bus market share in India | Trends & Growth Analysis 2025

Q: Who are the major players in the India Electric Bus Market?

BYD India (in partnership with Olectra), JBM Auto, VE Commercial Vehicles, and other are the major players in the market.

Q: What are the key trends in the India Electric Bus Market?

In the India Electric Bus Market, there are several key trends such as advancements in battery technology and policy incentives.

Q: What factors are proliferating the India electric bus market?

Key factors proliferating the market expansion include convergence of policy incentives and rising fuel prices is encouraging the transition to electric buses.

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Code: MTA4275

Publication Date: Jun 2025

What is the India Electric Bus Market Share?

According to 6Wresearch internal database and industry insights, the India electric bus market is estimated to witness a CAGR of 12.6%. In 2024, e-buses made up 6.3% of the total bus market, including both heavy and light vehicles.

The growth of Electric bus market in India is primarily being driven by government incentives under FAME II, expanding state transport electrification goals, and increasing environmental concerns prompting fleet operators to adopt zero-emission public transport options.

Growth Drivers of the India Electric Bus Market

Government procurement programs under FAME II and state-level EV policies.
Rapid electrification of public transport in Tier 1 and Tier 2 cities.
Rising operational cost savings compared to diesel buses.
Deployment of e-bus fleets under PPP models.
Introduction of long-range and fast-charging electric buses by domestic OEMs.
Strong push for carbon neutrality and sustainable urban mobility initiatives.

India Electric Bus Market Trends

India Electric Bus Industry is undergoing a shift towards localized manufacturing, with major OEMs investing in battery and component ecosystems. Flexible financing models, such as OPEX-based contracts, are being widely adopted. Additionally, intercity electric buses, smart fleet management solutions, and charging infrastructure partnerships are emerging trends reshaping the competitive landscape.