Auto Sales in China Grow 8%

Wholesale deliveries of passenger and commercial vehicles rose to 1.50 million units last month compared with 1.38 million in August 2011, according to the China Assn. of Automobile Manufacturers.

Sales of cars, SUVs and MPVs climbed 11% to 1.22 million units in August. Analysts say heavy discounting by carmakers is luring some buyers but may be encouraging even more to delay purchases in hopes that prices will decline further.

General Motors and its Chinese partners boosted volume 7% to 221,000 vehicles last month. Demand soared 39% to 48,600 units at Ford. Volkswagen has not yet reported August sales figures for China.

Luxury carmakers fared well. Demand jumped 24% to 34,800 vehicles at Audi, surged 38% to 25,400 units for BMW and Mini and increased 5% to 14,800 units at Mercedes-Benz.

CAAM says anti-Japan sentiments hurt sales of that country's brands last month. China's nationalist fervor was stirred by its dispute with Japan over control of a chain of islands in the East China Sea. Analysts say those tensions could continue to mount. Japan said on Monday it would nationalize the islands.

Volume dropped 15% to 75,300 vehicles at Toyota and rose less than 1% to 95,200 units at Nissan. Honda, whose year-earlier sales were still depressed by natural disasters, posted a 15% gain to 57,000 units in August.

CAAM says it expects sales volume in the final three months of 2012 to be stronger than in the current quarter, but it did not provide a detailed forecast.