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Biden admin pumps $1.5 billion into clean transit bus manufacturing

By Jake Beardslee · February 10, 2024

In brief…

  • Biden administration announces $1.5 billion investment in clean transit bus manufacturing
  • Funding comes from Bipartisan Infrastructure Law to boost equity and cut emissions
  • Will support purchase of American-made low/no emission buses
  • FTA taking steps to boost domestic manufacturing and help agencies transition
The Biden administration is investing $1.5 billion to boost manufacturing of American-made clean transit buses. The investment will support "low- or no-emission, American-made buses," according to Transportation Secretary Pete Buttigieg.  Gage Skidmore from Surprise, AZ, United States of America/Wikimedia

The Biden administration has announced a $1.5 billion investment to boost U.S. manufacturing of clean transit buses, part of the administration’s efforts to cut greenhouse gas emissions and advance equity goals.

The announcement came after a Wednesday roundtable meeting between the White House, the Federal Transit Administration (FTA), and representatives from transit agencies, bus manufacturers, suppliers, unions, and other stakeholders. The goal was to “ensure adequate U.S. manufacturing capacity to build clean transit buses at the scale and pace needed to meet market demand,” the White House said.

The $1.5 billion in funding comes from President Biden’s Bipartisan Infrastructure Law and will support the purchase of “low- or no-emission, American-made buses,” according to Transportation Secretary Pete Buttigieg.

“More funding for buses means less traffic congestion on the road, less pollution in the air, and more jobs for American workers,” Buttigieg said.

The FTA said the investment will “help cut pollution and promote cleaner, faster and safer bus riding experiences.” FTA Administrator Nuria Fernandez said the agency is “also providing solutions to reduce bus costs, shorten production timelines, and maintain domestic manufacturing capacity.”

To date, the Biden administration has funded over 2,900 low- and zero-emission buses, more than doubling the number on U.S. roads. Major transit agencies attending the roundtable committed to fully implement recommendations to boost American bus manufacturing.

The White House said the procurement flexibility and funding will “allow more support for the U.S. clean bus industry.” The FTA also issued guidance to “help transit agencies transition to low- and zero-emission buses.”