The coach market has almost completely recovered from the disastrous COVID years. Production, sales, and commercial operations had come to a near standstill almost everywhere. In the meantime, the second-hand market experienced golden years. Unprecedented prices for used vehicles disrupted the sector, but the production of new coaches is now steadily increasing. The introduction of new technologies such as cybersecurity, however, has made new coaches significantly more expensive.
COVID halted production in large parts of the world. Coach manufacturers were hit hard too. Operators of private transport companies put their orders on hold. The tourism sector, in particular, suffered severely from the lockdown. Coaches were parked en masse, and most manufacturers were forced to temporarily shut down their plants.
“For almost two years, we had nothing to build and hardly any sold almost nothing. That had a major impact on our operations, as R&D activities continued during that time,” says Geert Van Impe, Sales Director at MAN Belgium.
Soaring prices
COVID had an unprecedented impact on the market for second-hand coaches. Because these vehicles had barely been used for almost two years, their mileage was lower, allowing them to remain in service for several more years before replacement. At the same time, there were no new coaches available to fill the gap. The result: prices for second-hand coaches soared to record heights. “Used coaches were sold for amounts close to the price of new ones. Today, prices have dropped again. We now see operators renewing their fleets by trading in two used vehicles for one new model,” says Toon Meeusen of AM Buses, a Belgian company specializing in the purchase and sale of used vehicles.
Before COVID, coaches were usually resold after five years, but that period has now increased to seven. This is not only a consequence of the pandemic but also because, since July 1 this year, the latest vehicles must comply with stricter regulations that include more safety features. As a result, delivery times at MAN have increased from about six months to fifteen. Those longer waiting periods also force operators to keep their vehicles in service for longer.
“I was pleasantly surprised by the resilience and solidarity of the sector. Companies showed tremendous flexibility and creativity in working together,” says Steven Somers, CEO of Daimler Buses Belgium. For him, COVID belongs to the past. “Daimler Buses is reaching record sales levels. We could sell even more if we could produce them fast enough.”
The German manufacturer’s order books are already full for 2026. “The implementation of mandatory new technologies doesn’t cause delays because most of them are already integrated into our coaches. We’re always one step ahead of the regulations,” adds Somers.
An exception was the Chinese manufacturer BYD, which did not experience production shutdowns during COVID. “Our workers live on the factory site, which basically meant they were living in a safe bubble and were able to continue working. During that time, we completed a large order for the Netherlands,” explains Javier Contijoch, Vice President of E-bus Sales BYD Europe.
Manufacturers of city buses for public transport were least affected by the pandemic. The impact was less severe because these companies mainly produce large fleets under long-term contracts.
More than the city bus manufacturers
Buses that are now six to seven years old are therefore fetching particularly high prices on the second-hand market. Such vehicles find a buyer immediately.
In addition, they are used less intensively than before. Coaches now cover 60,000 to 80,000 km annually, whereas before COVID that figure was much higher.
The growing presence of electric vehicles cannot be denied, but EVs won’t revolutionize the industry within the next five years. For many coach operators, there is no need to be concerned; the diesel engine is far from its end.