Sales of new cars in Germany, Europe’s biggest market, rose 2.1% in July from the same month a year ago to 253,146, according to figures from KBA, the country’s motor transport authority.

Although the rise was attributed to one extra selling day in the month as well as heavy discounting, it gave industry observers reason for optimism with both France and Spain also reporting increased sales in the month. Sales figures for the UK are due out tomorrow (6 August).

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“The German car market is not out of the woods yet but July is a good start for the stabilisation we expect in the second half,” said Matthias Wissmann, president of Germany’s automotive industry association VDA.

The seven month total for Germany was down 7% on the same period last year at 1.76m.

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