BRUSSELS, July 3, 2008 (AFP) - Europe's aviation and defence industry warned Thursday of possible job losses caused by the strength of the euro and said they would raise their concerns soon with the European Central Bank (ECB).

'We are currently planning a meeting with the ECB on this issue. We want to present them facts concerning this issue of the euro-dollar rate,' said European aerospace and defence industries association (ASD) head Ake Svensson.

The meeting is expected to take place at ECB headquarters in Frankfurt in mid-July.

'Despite efforts to develop new production strategies and encourage greater productivity, each 10 cent devaluation of the US dollar against the euro produces a loss of margin of one billion euros to major companies,' Svensson said.

He said it also meant that 'proportional losses (were) being inflicted throughout the supply chain for at least another half billion.'

The companies, for the most part, have their costs billed in euros but often sell their products in dollars; a currency which has greatly depreciated recently.

ASD Secretary General Francois Gayet warned: 'Step by step, this can lead to a significant decrease in employment in Europe.'