The German automotive trade association VDA has reported that January car sales in Germany were up by 17% on last year, continuing the positive trend that began in December.

The VDA said that car sales rose to 211,100 cars in January.

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The VDA also said the export market for German cars grew 10% in January to 312,800 cars.

“German car manufacturers have got off to a dynamic start in 2011,” VDA President Matthias Wissmann said in a statement. “Domestic demand is increasing,” he added.

The German car market went into decline in 2010 after a scrappage scheme induced boom in 2009 that spilled into the early part of the year. However, a market gain in December marked the end of the reversal.

VDA forecasts a recovery in the German car market to 3.1m units this year (it was down 23% to 2.9m units in 2010) as consumer demand gradually picks up on the back of a relatively strong German economy.

See also: ANALYSIS: Germany’s car market turns a corner

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