The southern European economies are not strong enough to be in the euro with Germany and should split to form a separate union, said Joerg Meuthen the co-leader of the right-wing Alternative for Germany party (AfD)
Austria, the Netherlands, Finland and Germany could then remain as a core euro group, so countries on the continent are better aligned by economies and cultures, added Mr Meuthen.
He said: "The euro is a seed of discord in Europe that has different currency cultures and different competitiveness levels."
The euro is too strong for the countries struggling with high debts and weak growth, according to Mr Meuthen.
And the bloc's most troubled country Greece is so weak that it should go back to the drachma, said the AfD leader.
He said no other nation wants to share a currency with the crisis-hit nation.
The anti-immigration party has climbed to 15 percent in opinion polls ahead of Germany's September election amid growing discontent with Angela Merkel's policies.
Mr Meuthen conceded the German economy could suffer in the event of a eurozone split, but that a downturn would only last fora year or two.
He said: "The euro is too strong for southern European countries while for Germany and several others it's too weak.
"It's conceivable that the weaker countries leave.
"That could cause an economic slump (in Germany).
"It's impossible to say how deep. But in my view the economic slump would be over in about a year or two."