Figures released by the VDA show that car sales in Germany were 34% down on last year, the sixth monthly decline in a row.
The declining trend to car sales in Germany reflects the ending of a temporary scrappage scheme that boosted sales last year and early this.
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Overall production in German increased by 10% however, as exports to markets like China and the United States remained strong, VDA said.
In Germany, automakers delivered a total of 252,800 vehicles in May, a decline of 34% from the same month a year earlier, and 2.6% fewer than in April.
But exports leapt by 46 percent to 367,700 units, owing to strong momentum since the beginning of the year from the United States and China, the VDA said.
As a result, overall German output gained 10% to 470,100 vehicles.
