American automaker, General Motors has recorded its highest ever monthly sales in the Chinese market with 220,996 vehicles during the month of August beating a gloomy economic situation in the world's second largest economy.

The company's sales in China, which is the biggest auto market in the world, rose 7.3 percent compared to the August of 2011. The figure was 10.8 percent higher than July 2012, the company said in a statement. During the first eight months of this year General Motors and its associates sold more than 1.8 million units in the country, which is 11.2 percent higher than the same period of the previous year.

The auto market in China had slowed in the previous year due to scrapping of some purchasing incentives from the government and also because of limits placed by some cities on car numbers for easing traffic and reducing pollution levels. Cities including, Beijing, Shanghai, Guangzhou and many others have imposed a limit the number of cars through a quota on the number of vehicle number plates.

China's auto sales rose just 2.5 percent to 18.51 million units in 2011 and GM had sold a total of 2.5 million vehicles in the country in the previous year.