Middle East and Africa Electric Bus Market Size & Outlook, 2025-2033

Market Overview

The Middle East and Africa electric bus market size was valued at USD 0.496 billion in 2024 and is projected to grow from USD 0.558 billion in 2025 to reach USD 1.387 billion by 2033, growing at a CAGR of 12.05% during the forecast period (2025–2033).

E-buses, or electric buses, employ electric motors instead of ICE engines. A battery-powered electric motor powers the E-bus. Electric buses are pollution-free. They are also cheaper than gasoline/diesel buses. Demand for fuel-efficient, high-performance, and low-emission buses, government laws on vehicle emissions, and falling battery prices drive the electric bus market.

Manufacturing costs, fuel economy, and serviceability limit market expansion. Technical advancements and strong government policies to promote -bus adoption also offer growth opportunities. Gasoline, a fossil fuel, will run out. Develop and use alternative fuel sources for sustainable growth. Electric buses are cheaper and gas-free. These considerations drive demand for better fuel-efficient technology and electric buses for travel.

Highlights

• BEV dominates the market by propulsion type.
• Battery dominates the market by component.
• Fleet operator dominates the market by consumer segment.
•  9-14m dominates the market by the length of the bus.
• Intracity dominates the market by application.
• Less than 200 miles dominates the market by vehicle range.
• Up to 400 kWh dominates the market by battery capacity.
• Up to 250kw dominates the market by power output.
• Lithium-nickel-phosphate dominates the market by battery type.

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Market Dynamics

Middle East and Africa Electric Bus Market Drivers

Environmental Awareness and Sustainability

Electric buses are becoming more popular in the region due to environmental concerns and sustainability. The RTA inaugurated the Dubai Taxi Corporation's electric taxi fleet including electric buses. Electric buses reduce city air pollution and carbon emissions. The RTA's sustainability goals include steadily increasing the public transportation fleet's electric bus share.

Middle East and Africa Electric Bus Market Restraints

Limited Charging Infrastructure

Electric bus adoption requires a robust charging network. Electric bus fleets have challenges due to a lack of charging outlets, especially in distant or underdeveloped areas. Saudi Arabia's Vision 2030 initiative to diversify its economy and minimize oil dependence promotes electric vehicles, especially buses. However, poor charging infrastructure prevents nationwide electric bus implementation.

Middle East and Africa Electric Bus Market Opportunities

Government Support and Initiatives

Governments in the region are putting more emphasis on environmentally friendly transportation and putting supportive policies and programs in place to encourage the usage of electric buses. Morocco introduced the "Green Mobility" program in 2016 as a component of its overall energy policy. To lower greenhouse gas emissions and enhance air quality, the program promoted using electric vehicles, particularly buses. The government established financial incentives, including subsidies and tax exemptions, to promote the purchase and usage of electric buses.

Regional Analysis

The Middle East and Africa electric bus market is analyzed around Saudi Arabia, UAE, South Africa, Egypt, and the Rest of the Middle East and Africa. Saudi Arabia dominated the market and is expected to grow at a CAGR of 11.81% during the forecast period.

Due to the rise in low-cost lithium ion-phosphate battery production, there is a surge in demand for electric buses across the Middle East and Africa. Due to their low price, these batteries are an appealing alternative for operators wishing to lower their fuel expenses and are utilized in a range of electric vehicles, including buses. Several factors, such as the rising public awareness of the environmental advantages of electric cars, the expanding accessibility of charging infrastructure, and the declining cost of batteries, contribute to the rise in demand for electric buses. Additionally, many nations in the region are working to encourage using electric vehicles to lower emissions and enhance air quality.

Segmental Analysis

The Middle East and Africa electric bus market is segmented based on propulsion type, component, consumer segment, bus length, application, vehicle range, battery capacity, power input, battery type, and country.

Propulsion Type further segments the market into BEV, PHEV, and FCEV.

BEV segment dominates the market and is expected to grow at a CAGR of 11.81% during the forecast period.

Component further segments the market into Motor, Battery, Fuel Cell Stack, Battery Management System, Battery Cooling System, and E.V. Connectors.

Battery dominated the market and is expected to register a CAGR of 12.19% over the forecast period.

Consumer Segment further segments the market into Fleet Operators, Government.

The Fleet Operator segment dominates the market and is expected to grow at a CAGR of 11.46% during the forecast period.

The market is further segmented by Length Of The Bus into Less Than 9m, 9-14m, and Above 14m.

The 9-14m segment dominates the market and is expected to grow at a CAGR of 11.94% during the forecast period.

The market is further segmented by application into Intercity, Intracity.

Intracity dominated the market and is expected to register a CAGR of 11.96% over the forecast period.

The market is further segmented by Vehicle Range into Less Than 200 Miles, Above Miles.

The less than 200 miles segment dominates the market and is expected to grow at a CAGR of 11.83% during the forecast period.

Battery Capacity further segments the market into up to 400kwh and above 400kwh.

Upto 400 kWh segment dominates the market and is expected to grow at a CAGR of 11.40% during the forecast period.

The market is further segmented by Power Input into Up to 250kw, Above 250kw.

Up to 250kw dominated the market and is expected to register a CAGR of 11.81% over the forecast period.

The market is further segmented by Battery type into Lithium-Nickel-Manganese-Cobalt-Oxide, Lithium-Iron-Phosphate.

The lithium-Iron-Phosphate segment dominates the market and is expected to grow at a CAGR of 11.95% during the forecast period.

List of key players in Middle East and Africa Electric Bus Market

1. YUTONG
2. AB VOLVO
3. Anhui Ankai Automobile Co., Ltd.
4. Yinlong Energy
5. JBM Auto Limited (JBM Group)
6. Scania
7. Irizar
8. Iveco
9. Xiamen Golden Dragon Bus Co. Ltd.
10. Chariot Motors

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Recent Developments

• May 2023- Volvo Group contracts long-term renewable electricity from Vattenfall.
• April 2023- Mowasalat and Yutong Signed a Memorandum of Understanding to Support EV Research.