From surging currencies to startup breakthroughs, here’s what shaped Europe’s economic and tech landscape this week.
1. Euro’s Unexpected Surge Adds to Tariff Woes
The euro has surged by around 10% since early March 2025, driven by U.S. tariffs and increased fiscal spending in Germany. This appreciation is exacerbating hardships for European companies already impacted by new trade levies. Export-reliant firms in the STOXX 600 index, deriving 60% of their revenues from abroad, are seeing earnings pressures, with analysts predicting a 2-3% earnings reduction from the currency surge alone. Major firms like Unilever, SAP, and L’Oreal report negative impacts, while automakers are particularly vulnerable.
2. Scotland’s Business Landscape Sees Significant Developments
Edinburgh Airport has implemented a £24 million technology upgrade, introducing eight new security scanners that allow passengers to keep liquids and electronics in hand luggage. Hainan Airlines will expand its Edinburgh-Beijing direct flight to a year-round service. Karen Scholes has been appointed president of the Institute of Chartered Accountants of Scotland. Axa IM Alts has acquired a 50% stake in the Coalburn 1 battery storage project in South Lanarkshire, expected to become Europe’s largest upon completion. CBI Scotland is urging the government to prioritize skills development and economic growth.
3. U.S. Tariffs Disrupt Global Trade; UK Faces Cybersecurity Challenges
Escalating U.S. tariffs, especially those targeting China, are severely disrupting trade flows, raising recession fears, and generating market uncertainty. Data shows a significant decline in container shipments and bookings between China and the U.S. In the UK, the FTSE 100 continued a positive trend buoyed by a pause in tariffs, though economic growth forecasts have been revised downward. Marks & Spencer remains embroiled in a major cyber-attack, halting online orders and impacting logistics.
4. Economic Concerns Impact European Airline Bookings
European airlines are bracing for potentially weaker first-quarter results amid economic uncertainty and a downturn in travel bookings, particularly among Gen Z travelers. A new European Travel Commission study indicates a 3% overall drop in planned summer trips, with leisure travel down by 8% compared to 2024. Airlines like Ryanair and Air France-KLM are responding cautiously, with some considering fare cuts to maintain demand.
5. German Business Sentiment Improves Amid Tariff Challenges
In April 2025, German business sentiment unexpectedly improved, with the Ifo business-climate index rising to 86.9 from 86.7 in March. Despite this uptick, concerns persist due to U.S. President Trump’s tariff policies targeting European imports. These tariffs pose significant risks to major German manufacturers like Volkswagen, BMW, Mercedes-Benz, and Bayer.
6. EU-Startups Summit 2025 Showcases Europe’s Innovation
The EU-Startups Summit 2025, held on April 24-25, gathered up to 2,500 founders, startup enthusiasts, corporates, angel investors, VCs, and media from across Europe. The event featured fireside chats with successful founders, insightful keynotes, and an exciting pitch competition with some of Europe’s most promising startup teams.
7. Significant Funding Rounds Highlight Europe’s Startup Ecosystem
German fintech Bees & Bears secured $525 million to support sustainable energy installations. Daniel Ek’s Neko Health closed a $260 million Series B round to expand its clinics across Europe and enter the US market. UK-based energy efficiency startup Domna raised $87.39 million in a debut round.
8. EEC Startup Challenge 2025 Recognizes Emerging Innovators
The EEC Startup Challenge 2025, held on April 24 in Katowice, Poland, provided startups the opportunity to present their ideas at the European Economic Congress. Winners received promotional campaigns in specialist media outlets, premium invitations to selected events, and the chance to showcase their companies at the dedicated EEC Startup Alley stand.
9. UK Parliament Passes Steel Industry (Special Measures) Act 2025
In an emergency Saturday session on April 12, the UK Parliament passed the Steel Industry (Special Measures) Act 2025 to prevent the closure of steel production infrastructure. The act was given royal assent at 6:00 PM the same day.
10. Verdiva Bio Raises $410 Million for Weight Loss Drug Development
Verdiva Bio, a clinical-stage biopharmaceutical company focused on obesity and cardiometabolic disorders, has raised $411 million in Series A funding. The company is advancing innovative oral and injectable treatments, including its lead asset VRB-101, an oral GLP-1 peptide with strong efficacy potential.
11. Gropyus Revolutionizes Construction with Sustainable Timber-Hybrid Buildings
Gropyus, a Vienna-based startup, is revolutionizing the construction industry with sustainable timber-hybrid buildings. Founded in 2019, Gropyus has raised $236.45 million to date, including a $109.75 million Series D round, and is redefining urban living through innovation in green construction.
12. European Startups Shine at CES 2025
At CES 2025, European startups like Withings and German Bionic showcased their latest innovations. Withings unveiled its latest health technology innovation — BPM Vision, a home blood pressure monitor. German Bionic showcased its cutting-edge exoskeleton technology, highlighting its commitment to improving workplace safety and efficiency.
13. Boardwave Expands Support for European Software Entrepreneurs
Boardwave, a London-based impact-led organization founded in April 2022, has grown to 2,000 members as of February 2025, with 575 mentors pledging over 4,500 hours of pro bono mentoring time. The organization aims to enable European software entrepreneurs to work together to accelerate business growth.
14. FINN Secures $1.05 Billion to Expand Car Subscription Platform
Munich-based car subscription platform FINN has secured up to $1.05 billion in its second Asset-Backed Security (ABS) financing program. This funding will enable FINN to expand its vehicle fleet, strengthen its presence in Germany, and accelerate growth across Europe.
15. Junction Growth Investors Closes $118.59 Million Fund for Energy Transition
Belgium-based Junction Growth Investors has closed its first fund at $118.59 million to support European scale-ups driving the energy transition. The firm focuses on grid-enhancing technologies, energy management, and industrial decarbonization.
16. Major Power Outage Disrupts Spain’s Infrastructure
On April 28, a massive power outage across Spain disrupted transport systems, mobile networks, and more. Spanish train operator Renfe reported that the entire National Electricity Grid was cut off at 12:30 PM, affecting Madrid’s Barajas International Airport and leading to the suspension of the 2025 Mutua Madrid Open tennis tournament.
17. CeQur Raises $119.2 Million to Expand Insulin Delivery Device
Swiss-based CeQur raised $119.2 million to expand the commercial reach of CeQur Simplicity, a 4-day wearable device simplifying mealtime insulin delivery. The funding will support broader distribution and accessibility of the device.
18. XOCEAN Secures $117.75 Million for Ocean Data Solutions
Ireland’s XOCEAN secured $117.75 million to expand its fleet of low-carbon Uncrewed Surface Vessels offering ocean data solutions. The investment will enhance the company’s capabilities in providing sustainable ocean data services.
19. FIRE1 Raises $117.75 Million for Heart Failure Management Solution
FIRE1 raised $117.75 million in funding to complete a clinical trial for its heart failure management solution. The funding will support the company’s efforts to bring its innovative health technology to market.
20. Qvantum Raises $110.59 Million to Expand Heat Pump Production
Swedish heat-pump company Qvantum raised $110.59 million in Series C funding to expand production and grow across Europe. The investment will support the company’s mission to provide sustainable heating solutions.
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