Sales of cars, SUVs and MPVs rose 9 percent, 10 percent and 11 percent, respectively, according to the China Association of Automobile Manufacturers.

With automakers rolling out more new models and offering fresh incentives, passenger vehicle sales are expected to grow for the rest of the year, the association predicted.

By contrast, microvan sales dropped nearly 6 percent as China's commercial sector continued to lag behind the retail market.
For the first eight months of the year, overall industry sales rose 6 percent to 9.2 million units.

After Beijing ended scrappage incentives and tax breaks for small vehicles in January, China's passenger vehicle sale growth slowed to 6 percent year-on-year in the first half of this year, sharply down from last year's growth of 33 percent.

However, the sales started picking up in July and August as China's economy continued to expand. China's gross domestic product is expected to grow more than 9 percent this year.