For the first two months of the year, sales rose 4.6% y/y to 434,591 units. In terms of the segment-by-segment market trends, there was a big uplift for the sport utility vehicle (SUV) market of 21.4% while compact hatchbacks also experienced a strong rise of 15.2%.

Commenting on the figures, IHS Automotive said that Volkswagen enjoyed another strong month on February with sales rising by 18.5% y/y to 50,143 units as a result of the unusually low base comparison in February last year and by some strong offers and incentives on some vehicles. However, there were also some other interesting moves in the market with Audi taking second during the month from the usual holder of the position Mercedes-Benz. Audi posted sales of 20,435 units during the month, an increase of 5.1% y/y, while Mercedes’ volumes declined 0.5% y/y to 18,050. In fact Mercedes actually fell to fourth in the sales volumes table during the month after being just outsold by BMW, which finished the month on a figure of 18,096 units.

Again these large variations in sales increases during the month between Germany's biggest selling brands point the way to a varied approach to deal making and incentives. Ford overtook Opel to take fifth overall with a 3.2% y/y rise to 15,355 units, with the new Mondeo going on sale, while Opel's sales fell 2.9% y/y to 14,961 units despite the recent launch of the new Corsa. Opel will be hoping that its new model assault, which includes the forthcoming A-segment Karl, as well as the Corsa will reverse this negative growth figure as the year rolls on. Skoda enjoyed a strong month to place sixth overall in the sales list with volumes rising by 6.9% y/y to 13,443 units, helped by the roll-out of the new Fabia and with further new model launches on the way in the shape of the new flagship Superb which debuted at this week's Geneva Motor Show.

The German passenger car market continues to mirror the stable economic growth, robust consumer confidence and high employment that Europe's strongest economy continues to exhibit. Another element that has been thrown into the mix this month has been the strong wage settlements that have been agreed between Germany's largest industrial union IG Metall and employers in southwest Germany, including Porsche and Mercedes-Benz and may give workers further confidence to go out and make big ticket purchases, including new cars, if they so wish. The market has also been fuelled partially by the substantial oil-price declines that are also acting to increase consumer spending and lowering car running costs. Positive developments are also reflected in the latest (February) consumer confidence data from the GfK showing that the willingness to make major purchases has edged up anew to post another eight-year high and the willingness to save is even at an all-time record low. As well as the positive macroeconomic news there will also be further stimulus in the form of new model launches going forward, including a number of recent important additions such as the VW Passat and new Opel Corsa, while the new VW Touran, the facelifted 1 Series and the Series Active Tourer, and its new sister model the 2 Series GT, will also add some additional volume. The strong result for Germany in February mirrored gains in France, and the higher rates of increase in Spain and Italy as confidence continues to rise, fleet sales are boosted and private demand returns from low base levels.

For 2015, the IHS Automotive passenger car sales forecast is now being raised to 3.14 million units, an increase of 3% y/y.