New figures from the Central Statistics Office show that the number of new cars licensed for the first time in March rose by 8.4% to 11,485 compared to the same time last year.
The figures also showed that the number of new goods vehicles sold rose by over 50% to 1,593 in March of this year compared to March of last year.
Of the 11,485 new cars sold in March, 27.3% were petrol and 71.5% were diesel.
The CSO said that the most popular brand of new car sold last month, classified by make, was Volkswagen, followed by Nissan, Ford and Hyundai.
Today's figures also show that imported cars licensed for the first time in March rose by over 18% to 4,868.
The CSO said that in total, 39,366 new private years were licensed in the year to the end of March, up 27% on the same time last year.