Volkswagen’s July Sales Up 12% Due to China and the US Markets image

Volkswagen, Europe’s largest carmaker, reported July sales up 12% due to increased demand in China, which made up for the loss in Europe.

The automaker’s deliveries reached 468,300 cars and sport- utility vehicles, up from 418,600 units in 2011. Sales from January to July increased 10% to 3.26 million vehicles, compared to 9.5% over the same period last year.

“The Volkswagen Passenger Cars brand has grown global deliveries further, despite the continued difficult market situation, above all in western Europe,” Christian Klingler, the company’s sales chief, said in the statement.

Volkswagen manage to attenuate the loss in Europe by expanding in China and the US, while its European rivals PSA Peugeot Citroen and Fiat had to cut capacity and eliminate jobs, as they are more dependent on the European region. The ACEA auto- industry group forecasts auto sales in the European Union will drop 7% to 12.2 million vehicles by the end of this year.

From January to July, VW’s sales in Europe, excluding Germany, decreased 5% to 528,200 vehicles, while its deliveries increased 2.5% to 361,400 vehicles in its home country, Germany. The automaker’s sales in China rose 15% to 1.14 million units in July, while the US saw sales up 34% to 245,700 vehicles.