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Hybrid and Electric Vehicles offer the possibility of fuel saving by regenerative braking, a storage and retrieval capability for energy that would normally be wasted as heat during braking event. This paper focuses on regenerative braking in a parallel-series hybrid electric bus and specifically on how its control strategy can be formulated and optimized. To conduct the study it is necessary to model the behavior of the vehicle in AVL/CRUISE software which is a dynamic environment used to explain the simulation procedure for optimized regenerative braking strategy and original regenerative braking strategy. Then the braking performance and fuel economy of each strategy which is developed in the MATLAB/SIMULINK are studied and compared with the other in China City Cycle. Finally, the advantages of optimized regenerative braking strategy are evaluated.