Volkswagen Posts 3.8% Surge in Car Sales

German automobile manufacturer,Volkswagen Group’s global sales soared 3.8 percent in 2016 as higher demand in China and Europe offset drops in the U.S. and South America.

Full-year deliveries at the multibrand group, including its Audi and Porsche luxury marques, rose to a record 10.3 million, the automaker said in a statement earlier in the week.

That figure should put VW ahead of Toyota as the world’s largest car producer by volume. VW Group sales for December increased 12 percent to 933,300, Automotive News reports.

VW CEO Matthias Mueller said in the statement that the automaker had stabilized its business in a “very challenging year.”

Mueller said the group is on track for a successful 2017 with its brands launching 60 new or refreshed vehicles, including core models such as the new VW Polo and Touareg, Skoda Yeti, Seat Ibiza, Porsche Cayenne, Audi A8 and Bentley Continental GT.

VW sales are proving resilient despite the diesel emissions scandal which has plunged the company into crisis since it came to light in September 2015.

Group sales rose 12 percent in China last year and 4 percent in Europe. Brazil sales fell 34 percent while U.S. volume dropped 2.6 percent.

Among group car brands Skoda’s volume rose most in 2016 with a 6.8 percent increase. Porsche sales jumped 5.6 percent.

Audi sales were up 3.8 percent, VW brand’s volume rose 2.8 percent and Seat’s sales increased 2.6 percent. Sales of VW commercial vehicles rose by 11 percent, helped by a strong European LCV market.