The VW logo is seen on the front of one of dozens of new Passats made at the Chattanooga Volkswagen assembly plant parked outside the plant.
Sales of the Volkswagen brand globally jumped 4 percent in May on demand in China and Western Europe and despite falling numbers in the U.S. as dealers await a decision on where a new sport utility vehicle will be assembled.
VW brand deliveries rose to 531,100 cars last month from 511,000 a year ago, the automaker said in a statement.
“The Volkswagen Passenger Cars brand has produced a very satisfactory performance so far this year – even though developments in the various sales regions have been mixed,” said Christian Klingler, VW sales and marketing chief.
U.S. sales dropped by 11.5 percent to 150,300, and Brazil sales were down 15.5 percent to 215,700.
China sales increased by 19 percent to 1.16 million, the first time VW brand has sold more than 1 million vehicles in China in five months.
European sales grew 3.5 percent to 712,700 with sales in Western Europe up 6 percent to 372,300 excluding Germany, where sales grew 2 percent to 234,400.
Five-month VW brand sales are up 4 percent at 2.55 million autos.