Hexagon Agility Partners with Iveco Bus for Sustainable Transit Solutions

In a significant move towards enhancing sustainability in public transportation, Hexagon Agility, a subsidiary of Hexagon Composites, has recently entered into an exclusive long-term agreement with IVECO BUS, a prominent leader in the commercial vehicle sector. This partnership focuses on the supply of compressed natural gas (CNG) fuel systems for transit buses on a global scale. The collaboration, which builds on over two decades of working together, aims to expand the reach and efficiency of clean fuel solutions in public transport.

Key Details of the Agreement

The three-year agreement encompasses the exclusive provision of Hexagon Agility’s innovative fuel systems and Type 4 carbon fiber cylinders across IVECO's range of CNG buses. As part of this partnership, annual revenues for 2026 from these deliveries are projected to reach approximately EUR 20 million (around NOK 200 million). With this strategic collaboration, Hexagon Agility emphasizes its role in supporting transit operators worldwide in achieving reduced emissions and reduced operational costs associated with public transit fleets.

According to Eric Bippus, Chief Commercial Officer of Hexagon Agility, the partnership is pivotal in advancing the use of CNG and biomethane as viable alternatives for public transport systems. "Our two-decade-long collaboration with IVECO has laid the foundation for cleaner public transit, capable of significantly lowering emissions," he remarked, highlighting the successes achieved with over 10,000 buses delivered under their combined efforts.

The Importance of Clean Fuel in Public Transit

Buses are fundamental to public transport, accounting for around 48% of all journeys made globally, as reported by the International Association of Public Transport (UITP). As urban areas seek to decarbonize, public transport authorities are increasingly adopting fleets that utilize a variety of clean energy sources, including electric, CNG, hybrids, or even integrated systems based on region-specific needs and energy availability.

CNG and its renewable counterpart, biomethane, are identified as effective solutions for public transport. They offer immediate emissions reductions and cost benefits for operators, reinforcing their role in sustainable city planning. In recent years, CNG and biomethane buses accounted for 7% of registered city buses in Europe in 2025, with countries like France, Greece, and Italy leading with numbers exceeding 20%. This upward trend demonstrates a growing commitment to sustainable transit solutions.

Production and Future Deliveries

The production of these CNG fuel systems will take place at Hexagon Agility's facility located in Kassel, Germany. The initial deliveries under this agreement are expected to commence in the third quarter of 2026, marking an important milestone for both Hexagon Agility and Iveco Bus.

As the partnership unfolds, it exemplifies how collaboration within the sector can lead to significant advancements in public transportation sustainability. By leveraging existing technologies and investing in cleaner alternatives, companies like Hexagon Agility and IVECO are paving the way for a greener future in urban mobility.

Conclusion

This partnership not only positions Hexagon Agility and IVECO as leaders in the market for sustainable public transport but also serves as a model for how collaboration can yield tangible benefits in reducing emissions and operating costs. Ultimately, the steps taken today are vital in shaping a cleaner and more efficient public transport system for the future.