Car sales in Europe slipped during the first quarter of the year largely due to big falls in key markets including Germany, statistics showed Thursday.

International automotive industry forecasting group JD Power and Associates said Thursday in a report that car sales in Western Europe dropped by 1.1 percent during the first three months compared to the same period last year.

The fall in European car sales came as German car sales plunged almost 10 percent after the country raised its value-added tax by 3 percent in January.

Car sales in Germany fell 5.6 percent in March, said the report.

Meanwhile, car sales in France fell by 3.8 percent in March.

Still, JD Power expected European car sales to edge up by 0.5 percent this year as some markets still remain optimistic.

Car sales in Britain, one of Europe's major car markets, rose by about 3 percent both in March and during the first quarter, said the report.