Luxury Coaches Market Report 2026

The luxury coaches market size has grown strongly in recent years. It will grow from $35.16 billion in 2025 to $37 billion in 2026 at a compound annual growth rate (CAGR) of 5.3%. The growth in the historic period can be attributed to growth of tourism and leisure travel, rising corporate travel demand, expansion of intercity bus services, increasing preference for comfortable group travel, availability of advanced coach manufacturing.

The luxury coaches market size is expected to see strong growth in the next few years. It will grow to $45.09 billion in 2030 at a compound annual growth rate (CAGR) of 5.1%. The growth in the forecast period can be attributed to increasing adoption of electric and hybrid coaches, rising focus on sustainable tourism transport, expansion of luxury travel services, growing demand for connected vehicle features, increasing investment in premium fleet upgrades. Major trends in the forecast period include increasing demand for premium long-distance travel, growing adoption of electric luxury coaches, expansion of high-end tourism transportation, rising integration of smart infotainment systems, enhanced focus on passenger comfort.

The growth of tourism is expected to drive the expansion of the luxury coaches market. Tourism involves traveling to destinations outside of one's usual environment for leisure, business, or other purposes. Factors such as improved transportation, increased disposable income, better access to information, and the growing popularity of global travel experiences are contributing to the rise in tourism. Luxury coaches play a crucial role in tourism by offering comfortable, convenient, and high-end travel experiences that appeal to travelers looking for relaxation and stress-free transportation. For example, VisitBritain, a UK-based tourist authority, estimated that in 2024, 41.2 million inbound tourist visits to the UK would result in approximately $39.9 billion (£31.5 billion) in spending, a 9% increase from 2023. Projections for 2025 anticipate 43.4 million visits and spending of around $42.7 billion (£33.7 billion). This surge in tourism is helping fuel the growth of the luxury coaches market.

Key companies in the luxury coaches market are focusing on innovations such as electric luxury coaches, to meet the rising demand for premium transportation. These are high-end, battery-powered buses that provide luxury comfort, advanced amenities, and eco-friendly travel, making them ideal for VIP transport, executive travel, and long-distance journeys. For example, in January 2023, JBM Auto Ltd., an India-based manufacturer of auto systems, introduced the JBM GALAXY, India's first indigenously designed and manufactured 100% electric luxury coach. The 12-meter coach features 45 reclining seats, infotainment systems, Wi-Fi, and mobile charging ports for a premium travel experience. Powered by high-energy-density lithium-ion batteries, the coach can travel up to 1,000 km per day. The JBM GALAXY also includes safety features such as side-impact and rollover protection, EBS with ABS, high-temperature battery cut-off, fire detection and suppression systems, and surveillance cameras, ensuring a secure and comfortable journey.

In February 2025, Forest River Bus, LLC, a US-based manufacturer of recreational vehicles, buses, and vans, acquired L.A. West Coaches for an undisclosed amount. This acquisition allows Forest River to expand its luxury transportation portfolio and strengthen its market position by leveraging L.A. West Coaches' expertise in custom-built high-end coaches. L.A. West Coaches specializes in luxury coaches and executive transportation solutions, adding significant value to Forest River’s offerings.

Major companies operating in the luxury coaches market are Mercedes‑Benz Group AG, AB Volvo, Scania AB, Beiqi Foton Motor Co. Ltd., Forest River Inc., Zhengzhou Yutong Bus Co. Ltd., Zhongtong Bus Holding Co. Ltd., Van Hool NV, Temsa Skoda Sabanci Ulasim Araçlari A.S., Higer Bus Company Limited, Motor Coach Industries International Inc., Ebusco Holding N.V., Irizar S. Coop., Cheetah Coaches Pty. Ltd., Millennium Luxury Coaches Inc., King Long United Automotive Industry Co. Ltd., Xiamen Golden Dragon Bus Co. Ltd., Prevost (Volvo subsidiary), MAN Truck & Bus (Neoplan), BYD Auto, Alexander Dennis Limited (ADL), Hyundai Motor Company, Iveco Bus.

North America was the largest region in the luxury coaches market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the luxury coaches market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the luxury coaches market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The luxury coaches market consists of sales of premium seating, entertainment systems, luggage storage, luxury interiors, and refreshment facilities. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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