BEIJINGSHANGHAI, Sept 8 Reuters China39;s passenger vehicle sales returned to growth in August yearonyear, as deeper discounts and tax breaks for environmentally friendly and electric vehicles boosted consumer sentiment even as economic growth remains weak.

Car sales jumped 2.2 in August from the same month a year ago to 1.94 million units, data from the China Passenger Car Association CPCA showed on Friday, the first yearonyear gain since May.

Sales rose 8.5 from July. For the first eight months, sales were up 1.8 at 13.38 million units.

Buoyed by hefty discounts, Tesla39;s share of China39;s electric vehicle EV market almost doubled in August to 13.2 percent from 7.5 percent in July, according to Reuters calculations based on the CPCA data.

Tesla sold 64,694 cars in China in August, the data showed, while deliveries of its Chinamade Model Y hit 65,316 last month, topping the CPCA passenger vehicle model sales.

Lower rates on existing mortgages are likely to help revive the auto market, said CPCA Secretary General Cui Dongshu, even as slowing economic growth hits consumers39; pockets.

China39;s major banks will start to lower interest rates on existing loans for firsthome purchases, one of a series of measures aimed at boosting the economy and the key debtriddled property sector.

Chinese automakers continued to bet on overseas markets, as domestic growth eased, with exports surging 31 in August onyear following a 63 jump in July, the data showed.

Sales of new…