Bus Rapid Transit (BRT) Market
1. Introduction to Bus Rapid Transit (BRT)
Bus Rapid Transit (BRT) is a high-quality bus-based transit system that delivers fast, comfortable, and cost-effective services at urban scale. BRT systems can easily be customized to local conditions and integrate with other modes of transport, making them an ideal solution for cities of all sizes.
The first BRT system was implemented in Curitiba, Brazil in 1974, and today there are over 200 BRT systems in operation around the world. BRT has been shown to deliver significant economic, social, and environmental benefits, and is an increasingly popular option for cities looking to improve their public transport systems.
BRT systems are typically designed around a dedicated right-of-way that gives buses priority over other traffic. This can be achieved through a dedicated lane, separate roadway, or even a fully segregated busway. BRT vehicles are typically high-capacity, low-emission buses that are comfortable and easily recognizable.
BRT systems are typically designed to offer a faster and more reliable service than other bus services, as well as a higher level of comfort and amenities. BRT systems can also be easily integrated with other modes of transport, such as rail or bicycles, to create a truly multi-modal public transport system.
BRT systems have been shown to deliver significant economic, social, and environmental benefits. BRT can help to reduce traffic congestion and pollution, while also providing an efficient and affordable public transport option that can connect people to jobs, education, and other opportunities.
BRT is an increasingly popular option for cities looking to improve their public transport systems, and there are a number of successful BRT systems already in operation around the world.
2. BRT Market Overview
The global Bus Rapid Transit (BRT) market is estimated to be valued at USD 4.8 billion in 2019 and is expected to reach USD 7.1 billion by 2025, growing at a CAGR of 7.09% during the forecast period, 2020–2025. The major factors driving the growth of the market are the increasing need for efficient public transportation systems and the growing focus on reducing carbon emissions from the transport sector.
BRT systems are designed to provide high-quality, efficient, and cost-effective public transportation services. They are typically implemented in urban areas and are used to connect the city center with the suburbs. BRT systems typically comprise dedicated bus lanes, bus rapid transit stations, and advanced fare collection and enforcement systems.
The Asia-Pacific region is expected to be the largest market for BRT systems during the forecast period. The market in the region is driven by the growing population and the increasing need for efficient public transportation in the countries of the region, such as China and India.
The key players operating in the global BRT market are Bombardier Inc. (Canada), Siemens Mobility AG (Germany), CRRC Corporation Limited (China), Hyundai Motor Company (South Korea), and Volvo Buses (Sweden). These players are focused on expanding their product portfolios and expanding their geographical presence to gain a competitive edge in the market.
3. Key Drivers of the BRT Market
The BRT market is primarily driven by three key factors: government initiatives, environmental concerns, and economic benefits.
Government initiatives are a major driver of the BRT market. Governments around the world are investing in BRT systems to improve urban mobility and reduce traffic congestion and pollution. For instance, the government of India has earmarked US$ 1.5 billion for the development of BRT systems in 12 cities. The government of Colombia has also announced a US$600 million investment for the development of BRT systems in the country.
Environmental concerns are another key driver of the BRT market. BRT systems offer a more sustainable and eco-friendly alternative to traditional diesel-powered buses. They emit lower levels of greenhouse gases and other pollutants, and consume less fuel. This makes them an attractive option for cities looking to improve their air quality and reduce their carbon footprint.
Finally, the economic benefits of BRT systems are also a key driver of the market. BRT systems are typically less expensive to build and operate than other mass transit options, such as light rail or metro. They can also be easily scaled up or down to meet changing demand. This makes them a cost-effective option for cities of all sizes.
4. Challenges Facing the BRT Market
The BRT market is expected to grow significantly in the next decade. However, there are several challenges that need to be addressed in order for this market to reach its full potential.
One of the biggest challenges facing the BRT market is funding. BRT systems are expensive to build and operate, and there is a lack of dedicated funding sources. Many projects are funded through a mix of public and private sources, which can be difficult to secure.
2. Planning and Implementation
Another challenge facing the BRT market is the planning and implementation of projects. BRT systems require a high level of planning and coordination between different agencies. There can be significant delays and cost overruns if projects are not properly planned and executed.
3. Public Perception
Another challenge facing the BRT market is public perception. BRT systems can be controversial, and there is often significant public opposition to projects. This can make it difficult to secure funding and build support for projects.
A final challenge facing the BRT market is technology. BRT systems rely on a variety of advanced technologies, such as intelligent transportation systems and real-time information systems. These technologies can be expensive and difficult to implement.
5. Future of the BRT Market
The bus rapid transit (BRT) market is expected to grow significantly in the next few years. This mode of public transport is becoming increasingly popular due to its many benefits, including its affordability, flexibility, and efficiency. Here are five ways in which the BRT market is expected to grow in the future:
1. More cities will adopt BRT systems
As more cities around the world become aware of the many benefits of BRT, we can expect to see more cities adopting this mode of public transport. This will lead to increased demand for BRT vehicles and infrastructure, and we can expect to see more manufacturers entering the market.
2. BRT systems will become more widespread
At present, most BRT systems are located in developing countries. However, we can expect to see this change in the future as BRT systems are increasingly adopted in developed countries as well. This will lead to a more global market for BRT products and services.
3. BRT vehicles will become more sophisticated
As BRT systems become more widespread, we can expect to see a corresponding increase in the sophistication of BRT vehicles. Manufacturers will increasingly focus on developing vehicles that offer improved comfort, safety, and efficiency.
4. BRT infrastructure will become more sophisticated
In order for BRT systems to operate effectively, they require well-designed infrastructure. We can expect to see a corresponding increase in the sophistication of BRT infrastructure in the future, with a focus on improved integration with other modes of transport.
5. The market will become more competitive
As the BRT market grows, we can expect to see increased competition among manufacturers. This will lead to lower prices and improved quality for consumers.
LIST OF KEY COMPANIES PROFILED:
- AB Volvo (Gothenburg, Sweden)
- Tata Motors (Mumbai, India
- MAN (Munich, Germany)
- Ashok Leyland (Chennai, India)
- Yutong (Zhengzhou, China)
- Marcopolo S.A. (Caxias do Sul, Brazil)
- King Long (Xiamen, China)
- BYD Company Ltd. (Shenzhen, China)
Report Scope & Segmentation
Value (USD Million) & Volume (Units)
By Bus Type