Dusseldorf  - Sales of Japanese-brand cars have slumped nearly 7 per cent this year, the Japan Automobile Manufacturers Association (JAMA) said on Thursday from its German office in Dusseldorf.

The manufacturers have been hit by both consumer worries and a decline in market share that reduced JAMA companies' stake to 10.9 per cent.

Sales in the eight months from January to August were just under 229,500, down 6.7 per cent from the corresponding months of 2007.

The full-year tally for 2007 was 371,500, a slide of 11.4 per cent compared to the heady days of 2006, when Japanese brands claimed a market share in Germany of 12.1 per cent.

JAMA spokesman Andreas Meckel said he believed Germany still offered "good sales potential."

Japanese makers increased output by 19 per cent in year-on-year terms from their 12 European factories to 1.8 million vehicles last year, JAMA figures show.

The factories are sited in eight nations and JAMA said they create employment for 40,700 people. The makers also employ 3,200 people in Europe in research and development. Counting sales and ancillary activities, JAMA members had created jobs for 144,400 people. (dpa)