The cost of a transit bus has gone up by 68 percent since 2021, in part because of recent tariffs on steel and aluminum.
A major transit bus manufacturer says the cost of vehicles is going up due to tariffs, while agencies are ordering fewer zero-emission buses.
According to an article in Smart Cities Dive by Dan Zukowski, NFI Group President and Chief Executive Officer Paul Soubry outlined the trends in an earnings call, saying that the cost of new buses rose by 68 percent since 2021, in large part because of higher tariffs on steel and aluminum.
“Last year, the Federal Transit Administration reminded agencies using federal funds to procure transit buses that they can ask the FTA for additional funds and can amend certain contracts to cover price increases.” Last month, the FTA announced that agencies can change their zero-emission projects to low-emission technology, which could prompt changes in what vehicles and infrastructure transit agencies buy.
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