PARIS -- PSA Peugeot Citroen says it will raise production in Europe to meet growing demand in the region's recovering car market.

The maker of the Peugeot 208 and the Citroen C3 Picasso says its European factories will build 60,000 more cars than planned between May and August, up 10 per cent from the original target.

Last year the carmaker, which is partly owned by China's state-owned Dongfeng Motor Corp, sold 2.9 million cars, including 1.76 million in Europe. The group makes 68 per cent of its vehicles in Europe.

Europe's car market has been on a rebound for over a year and a half. In the first quarter of 2015 new car registrations grew 8.6 per cent to 3.5 million.