Volkswagen said today that its vehicle deliveries in October grew 11.1% to 557,300 vehicles from the same month a year ago thanks to growth in its main markets of China and Germany.

The group's nine brands also sold a total of 5.32 million vehicles in the 10-month period from January to end October, surpassing the total 2008 figure of 5.29 million, the company reported. This during a period when the global auto market declined by 10%.

Sales director Detlef Wittig said: "Overall developments are better than expected thanks to our market leadership in Germany, the growth markets of China and Brazil and to our young and environmentally friendly product range."

But he warned that passenger car markets around the world had not yet made a sustained recovery, adding: "we are anticipating a particularly difficult and challenging year in 2010."

Sales in China rose 64.3% to 128,900 vehicles, while the group's home market in Germany grew by 26% to 116,100 units. Growth in Brazil was 9.5% to 59,300 vehicles. Demand for vehicles such as Audi A5 and Q5, along with the VW Jetta and Passat were particularly high.

Less expensive models benefitted from Germany's auto-scrapping bonus which expired in September. Analysts have warned that 2010 could be gloomy for the domestic market.

Earlier this week it was reported that Volkswagen-Porsche had overtaken Toyota to become the world's largest car manufacturer in the first nine months of the year, producing 4.4m vehicles, outstripping its Japanese rival which produced 4m vehicles in the same period.

Estimates by IHS Global Insight show how scrappage incentives in China, Germany and the UK benefited VW while the German company has launched a range of suited to the Chinese market.

HIS Global Insight added that VW was allowed to overtake Toyota following the Japanese carmaker's decision to halve its output in the first quarter of this year. Toyota became the world's largest carmaker last year after overtaking General Motors, which had held the position for 80 years.