HYDROGEN BUSES MARKET ANALYSIS

Hydrogen Buses MarketSize and Trends

Global hydrogen buses market size is estimated to be valued at US$ 10.78 Bn in 2023 and is projected to reach US$ 165.34 Bn by 2030, exhibiting a compound annual growth rate (CAGR) of 47.7% during the forecast period (2023-2030).

• Increased government initiatives to support hydrogen transportation: Many countries are launching initiatives and programs to support hydrogen transportation infrastructure, which includes funding for hydrogen buses and refueling stations. This is in line with efforts to meet greenhouse gas emission reduction targets. As part of its National Hydrogen Strategy published in 2021, Germany aims to have 5,000 hydrogen buses on its roads by 2030. Similarly, France targets 1,000 hydrogen buses by 2024 through its National Hydrogen Deployment Plan.
• Collaboration between industry players: There's a growing trend of collaboration among manufacturers, energy companies, and government bodies. These partnerships aim to develop and expand the hydrogen economy, encompassing hydrogen production, distribution, and vehicles. In 2022, bus manufacturers Van Hool and Hydrogenics it is a developer and manufacturer of hydrogen generation and fuel cell products based on water electrolysis and proton-exchange membrane technology announced a partnership to develop and deploy a fleet of 100 hydrogen-powered double-decker buses for service in London by 2023. In another example, Toyota Motor Corporation is a Japanese multinational automotive manufacturer joined with Hino Motors is a Japanese manufacturer providing manufacturing services of commercial vehicles and diesel engines, in 2021 to jointly develop heavy-duty fuel cell trucks and buses. They plan to start mass production of these vehicles by 2025. This partnership combines Toyota's experience in fuel cell technologies with Hino's expertise in commercial vehicles.
• Improvements to increase performance and efficiency: Manufacturers are continuously improving fuel cell systems to increase their longevity, efficiency, and performance, while also working to reduce costs. These advancements are making hydrogen buses more competitive with traditional and other zero-emission counterparts. According to the annual report from the Fuel Cells and Hydrogen Joint undertaking European Union provided funding for 27 hydrogen buses and fueling stations to be deployed across major cities in 7 countries between 2021-2023
• Integration of renewable energy: To produce green hydrogen, there is an increasing trend of integrating hydrogen production with renewable energy sources like wind, solar, and hydroelectric power. This reduces the carbon footprint associated with hydrogen production. According to a report by the Fuel Cells and Hydrogen Joint Undertaking, in 2019, Germany had 279 hydrogen buses in operation across various cities. In 2021, Germany announced plans to have over 1,500 hydrogen buses on the roads by 2025. Similarly, according to the China Hydrogen Alliance, more than 10,000 fuel cell electric buses were in operation across various Chinese cities as of 2021.

Global Hydrogen Buses Market Trends

• Increased government initiatives to support hydrogen transportation: Many countries are launching initiatives and programs to support hydrogen transportation infrastructure, which includes funding for hydrogen buses and refueling stations. This is in line with efforts to meet greenhouse gas emission reduction targets. As part of its National Hydrogen Strategy published in 2021, Germany aims to have 5,000 hydrogen buses on its roads by 2030. Similarly, France targets 1,000 hydrogen buses by 2024 through its National Hydrogen Deployment Plan.
• Collaboration between industry players: There's a growing trend of collaboration among manufacturers, energy companies, and government bodies. These partnerships aim to develop and expand the hydrogen economy, encompassing hydrogen production, distribution, and vehicles. In 2022, bus manufacturers Van Hool and Hydrogenics it is a developer and manufacturer of hydrogen generation and fuel cell products based on water electrolysis and proton-exchange membrane technology announced a partnership to develop and deploy a fleet of 100 hydrogen-powered double-decker buses for service in London by 2023. In another example, Toyota Motor Corporation is a Japanese multinational automotive manufacturer joined with Hino Motors is a Japanese manufacturer providing manufacturing services of commercial vehicles and diesel engines, in 2021 to jointly develop heavy-duty fuel cell trucks and buses. They plan to start mass production of these vehicles by 2025. This partnership combines Toyota's experience in fuel cell technologies with Hino's expertise in commercial vehicles.
• Improvements to increase performance and efficiency: Manufacturers are continuously improving fuel cell systems to increase their longevity, efficiency, and performance, while also working to reduce costs. These advancements are making hydrogen buses more competitive with traditional and other zero-emission counterparts. According to the annual report from the Fuel Cells and Hydrogen Joint undertaking European Union provided funding for 27 hydrogen buses and fueling stations to be deployed across major cities in 7 countries between 2021-2023
• Integration of renewable energy: To produce green hydrogen, there is an increasing trend of integrating hydrogen production with renewable energy sources like wind, solar, and hydroelectric power. This reduces the carbon footprint associated with hydrogen production. According to a report by the Fuel Cells and Hydrogen Joint Undertaking, in 2019, Germany had 279 hydrogen buses in operation across various cities. In 2021, Germany announced plans to have over 1,500 hydrogen buses on the roads by 2025. Similarly, according to the China Hydrogen Alliance, more than 10,000 fuel cell electric buses were in operation across various Chinese cities as of 2021.