School Bus Manufacturers Stay the Course Despite Regulatory, Funding Uncertainty

August 4, 2025

A July 13, 2025 panel at STN EXPO West in Reno, Nevada featured representatives from Cummins, Thomas Built Buses, Blue Bird, IC Bus and RIDE. The session, “The Engines & Emissions Pathway Forward” was facilitated by School Transportation News Editor-in-Chief Ryan Gray.

While the immediate future remains uncertain on federal emissions regulations and funding, school bus OEMs say they are prepared with varied solutions going forward to meet the needs of every customer, no matter the fuel or where they operate.

That was the key takeaway from a July 13 panel at STN EXPO West in Reno, Nevada. The OEM representatives on stage were Francisco Lagunas, general manager of North America Bus for Cummins; Jim Crowcroft, general sales manager for Thomas Built Buses; Katie Stok, product marketing and commercial readiness for IC Bus; Frank Girardot, the PR, marketing and government relations leader at RIDE; and Brad Beauchamp, EV product segment leader for Blue Bird. The session attempted to provide some clarity to the ever-changing funding and fuel landscape.

“The only certainty is that everything is so uncertain,” Lagunas punctuated during the “The Engines & Emissions Pathway Forward” session, facilitated by School Transportation News Editor-in-Chief Ryan Gray.

Lagunas added that Cummins is seeing an increased demand in diesel, confirming that the new B6.7 octane engine will be available in January. Though, he noted that investments in electric batteries and drive systems have not slowed down. Accelera, the zero-emissions division of Cummins, is a member of a joint venture with Daimler Truck North America and Paccar to create a U.S.-based battery cell manufacturer, Amplify Cell Technologies.

Crowcroft agreed, adding that one year has made a huge difference in industry focus. Several of the same panelists sat on a similar panel last year at STN EXPO, where he said EV was the focus of the industry.

“Now, it’s been a complete 180 [degree turn] this year,” he shared, adding that the industry has spent too much time talking about EVs and not enough time talking about the other offerings.

This year has been about being diverse, being nimble and ready to adapt to change when necessary. “What is the most practical plan?” he asked, noting that diesel technology has advanced and EV fatigue is setting in.

He shared that Thomas is not telling customers what fuel or energy type to use but instead empowering them to choose what works best for their fleets. Noting the Trump administration’s relaxation of a federal push for zero-emission vehicles, Crowcroft said there has been a sigh of relief from customers for not feeling like they have to purchase electric school buses.

He noted that with all the changes and technologies, it puts more pressure on the OEMs to keep up. He said Thomas is committed to investing in quality, citing that ahead of the 2027 GHG Phase 3 regulations targeting lower NOx (the EPA currently has it on hold pending a proposal to remove GHG regulations), school districts might want to pre-buy within the next 12 months to avoid cost increases tied to the new technology.

Beauchamp said Blue Bird has always focused on a fuel-agnostic path for its customers, and the company plans on continuing with propane being a low emission source. While he said Blue Bird had yet to see EV order cancellations as of last month, he anticipates those orders will flatten. Regardless, Blue Bird is committed to EV, noting an $80 million grant from the U.S. Department of Energy last year (and double that amount in company matching funds) to build a new Type D electric school bus plant.

He noted that while the supply chain has improved coming out of COVID-19, “We’re not out of the words on it, yet,” he said.

Stok noted that the industry conversation should not be about low costs but having a supplier that delivers good quality on time. She noted that, like the other OEMs, EV is still very much part of the IC Bus product portfolio, as is diesel. However, she said the change in federal regulations will usher in changing order preferences across the industry, noting that IC is reintroducing its own gasoline school bus with the upcoming Cummins engine.

For the remainder of 2025, she said IC Bus is on track to have the highest production output from its Tulsa, Oklahoma plant. Communication is key right now, she added, and the manufacturer is working with its dealer network to listen to the customers and continue to improve.

Meanwhile, Girardot said it’s too early to predict what the future holds but BYD electric school bus company RIDE believes it holds a promise to furthering the deployment of EVs and enhancing the capabilities of vehicle to grid technology. He noted that V2G holds value and is something that communities need to consider. He highlighted success stories of V2G, such as in the Oakland Unified School District in California.

Girardot added that technician training on electric school buses is a must.

Additionally, RIDE announced a range extension on its blade battery, which took home the Best Green Technology, as judged by attendees at the STN EXPO West Trade Show Innovation Awards. Girardot added RIDE, too, received a competitive grant to expand its manufacturing facility.