BRUSSELS, Belgium: Europe's aerospace and defence sector posted strong growth last year, with turnover and employment both climbing to record levels as governments ramped up spending amid heightened security concerns.

Turnover rose 10.1 percent to 325.7 billion euros (US$378.04 billion) in 2024, while direct employment reached an unprecedented 1.1 million people, Camille Grand, secretary general of AeroSpace and Defence Industries Association of Europe (ASD), said.

Defence activity was the most significant driver of the jump, with turnover increasing 13.8 percent to 183.4 billion euros, fuelled by higher military budgets and efforts to strengthen security in response to the war in Ukraine, Grand told reporters.

Civil aeronautics revenue grew six percent to 129.1 billion euros, supported by airline traffic recovery and demand for more fuel-efficient aircraft. However, the sector continued to face supply-chain constraints and shortages of skilled workers. The space industry registered a turnover of 13.2 billion euros, up 3.1 percent.

ASD said the broader aerospace and defence ecosystem, covering more than 4,000 companies, supported nearly 4.2 million jobs and generated 779 billion euros in economic activity across the continent.

ASD President Micael Johansson called on the European Union to adopt a dedicated industrial strategy for civil aeronautics and maintain strong defence spending, warning that the region's leadership in advanced technologies "cannot be taken for granted".

Research and development spending climbed 9.4 percent to 25.2 billion euros, though ASD noted that Europe continues to trail major global competitors in innovation investment.