European car sales rose 7.7% in May from the same time last year, returning to growth after a dip in April and with nearly all auto manufacturers recording sales increases.
New passenger car registrations in the European Union and European Free Trade Association increased to 1.43 million vehicles last month.
This is according to the Brussels-based Association of European Carmakers (ACEA).
"In volume terms, this result comes close to May 2007 levels, just before the economic crisis hit the auto industry," the industry group said in a statement.
European car sales returned to annual growth in 2014 after a six-year slump during which registrations fell to their lowest in decades.
Demand has been growing most months since, as an improvement in consumer confidence, retail incentives and new product launches lured customers back to the showrooms.
The May increase comes after registrations dropped the previous month, due to fewer trading days around Easter and thanks to a double-digit sales decline in Britain.
May's growth was led by Japanese carmakers Suzuki and Toyota, up 21.4% and 19.6% respectively, and Germany's Daimler, up 14%.
Sales from the Fiat Chrysler Automobiles stable rose 11.9%, as a 47.8% jump for sporty Alfa Romeo models helped offset a 7.3% drop for its Jeep SUV brand.
France's Renault recorded a 10.4% rise in registrations, outpacing domestic rival PSA Group, whose sales increased 4.8%.
Sales at Volkswagen, Europe's biggest carmaker, rose 8.4%, both for the group and its core namesake brand, as the German company continues to recover from its diesel emissions test-rigging scandal.
Its market share remained roughly stable year-on-year at 24.3%.
The only carmakers to report falling sales last month were Jaguar Land Rover, down 9.3%, Japanese carmakers Honda and Mazda, falling 14.5% and 2.3% respectively, and Opel Group, down 1.7%.
All five major national markets, except for the UK, recorded sales increases last month, led by Germany, where registrations increased 12.9%, and followed by Spain, where sales were up 11.2%.
UK sales dropped 8.5% in May.
In the first five months of the year, European registrations increased 5.1% to 6.92 million vehicles, ACEA added.
