BERLIN (Reuters) - Audi <VOWG_p.DE> increased global sales 2.9 percent in August on strong demand in its key Chinese market for luxury compact cars including the A3 and Q3 models.

The Volkswagen-owned division on Tuesday said deliveries rose to 132,350 autos last month from 128,647 a year earlier, with eight-month sales up 4.9 percent at 1.23 million.

Sales in China were up 8.8 percent at 49,154 cars, expanding year-to-date registrations in Audi's largest market 6.8 percent to 361,315.

German luxury rival BMW <BMWG.DE> earlier on Tuesday reported a 5 percent increase in brand sales to 142,554 cars, with eight-month sales up 5.5 percent at 1.28 million.

(Reporting by Andreas Cremer; Editing by Victoria Bryan)