First-half passenger vehicle sales rose 13.8 percent to 8.67 million units, exceeding expectations. The vehicle industry association is maintaining its 7 percent sales growth forecast for this year. [Photo / Xinhua]

Despite signs of a slowdown in China, the results announced on Thursday again showed GM benefiting from its increasing strength in the world's biggest automobile market.

It was the Detroit-based company's 14th straight quarterly profit since emerging from a government-led bankruptcy restructuring in mid-2009.

A day earlier, growing China sales were also cited as a boost to results for GM's US rival, Ford Motor Co, which reported stronger-than-expected second-quarter earnings.

Ford also raised its profit and sales outlooks for the year as solid China sales offset losses in Europe.

GM also has been losing money in Europe as weak economic conditions drive new car sales to historic lows.

"We continue to perform well in the two most important markets, the US and China," GM Chief Executive Officer Daniel Akerson said in a release.

"We also made progress in our European business and saw the steady performance of our global brands, Chevrolet and Cadillac."

Symbolizing the strength of GM's Cadillac brand, a mainstay of its pitch to prosperous Chinese buyers, the company broke ground for a new Cadillac assembly plant in Shanghai in June.

Bob Socia, president of GM China, has forecast that Chinese demand for GM's passenger cars and commercial vehicles will "remain robust through the end of the year".

GM now sells nearly three of every four vehicles it makes outside the US.

Ford has also been building overseas sales, but it entered China much later than GM.