German car giant Volkswagen is to recall more than 640,000 vehicles in China for a possible gearbox fault, it said Thursday in its second recall in the world's largest auto market in two days.

The company will recall 621,563 locally-made models -- among them the Golf and Lavida -- as well as 18,746 imported cars including Audis and Beetles, China's quality watchdog said in a separate statement.

The synthetic oil used in the gearbox may cause electrical malfunctions under conditions of high heat and humidity, Volkswagen said.

It will replace the fluid with mineral oil at no cost to owners.

"We sincerely apologise to our customers for any inconvenience caused," the Volkswagen statement said.

A day earlier, the Chinese government announced Volkswagen would recall more than 207,000 sport utility vehicles over a possible defect in the lights.

Volkswagen confirmed the move, saying it was part of a global recall.

In March this year, the German auto giant said it would recall 384,181 vehicles in China -- also over gearbox defects, due to a potential electronic malfunction in the control unit.

China, the world's largest auto market, is critically important for foreign car companies in the face of weak demand elsewhere, especially in Europe.

China's auto sales grew 4.3 percent annually to 19.31 million vehicles in 2012.

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Volkswagen