Major bus lines expanded along the country’s busiest corridors, upgrading to technologically advanced coaches, and prioritizing densely traveled routes in the Northeast and warm weather regions.

Those are some takeaways from Stepping Up Service, the 2025 Outlook for the Intercity Bus Industry in the United States by DePaul University’s Chaddick Institute for Metropolitan Development.

Expansion in the Sun Belt and Southwest propelled intercity bus ridership and several state bus systems also set ridership records, according to the report, which predicts bus ridership will grow 4 percent this year. That’s more than the 2.4 to 2.8 percent growth of domestic auto and air travel projected by the U.S. Travel Association.

State-supported bus networks, less vulnerable to impending “fiscal cliff” than public transit systems, will see more expansion and service additions, according to the report. The share of bus trips of less than 300 miles will grow due to competition from private vehicles, air travel, car rentals, and concerns about the unpredictability of longer bus trips.

The report breaks down developments across seven regions: New England and New York; Mid-Atlantic; South; Midwest; Texas and South Central; Mountain Region; California and Nevada; and, Pacific Northwest.

The previous report, released in February 2024, suggested that intercity bus traffic could recover to pre-pandemic levels by 2026.