STOCKHOLM (Reuters) - Chinese-owned Volvo Car Group said on Tuesday sales of its cars rose 3.2 percent in August from the same month last year as strong growth in the United States and Sweden offset a continued slide in China.
Concerns over slowing growth and share price turmoil have clouded the outlook for China in recent months and hit car sales.
The Sweden-based company, owned by China’s Zhejiang Geely Holding Group Co. GEELY.UL, sold 30,195 cars in the month, with sales down 10 percent in China, the second straight month of double-digit declines in the world’s biggest car market.
“The decline in China reflects the general slowdown in the Chinese economy which has affected the overall car market,” Volvo said in a statement.
Chief Executive Hakan Samuelsson said last month the carmaker still expected to reach sales of close to 500,000 cars this year with European demand and improvements in the United States compensating for slower growth in China.
The main growth engines for Volvo in August were sales in the United States, up 18.3 percent, and in Sweden, up 19.2 percent.
The firm, one of Sweden’s biggest employers, said U.S. growth had been mainly driven by its new flagship XC90 model as well as the XC60, the best-selling Volvo model.
Reporting by Johannes Hellstrom; editing by Niklas Pollard