Environmental, Social, and Governance (ESG) priorities are no longer just buzzwords—they’re business imperatives. Across Europe, startups and scaleups are reshaping legacy industries through climate-conscious innovation. From carbon removal to green finance, the continent is fast becoming a global testbed for sustainable business.
Here are five European companies leading the charge across energy, materials, food, and finance—each with scalable models and real market traction.
1. Northvolt (Sweden)
Sector: Clean Energy & Battery Manufacturing
Founded: 2016
Key Product: Sustainable lithium-ion batteries for EVs and grid storage
Northvolt is indeed constructing a green battery supply chain in Europe. Their flagship facility, Northvolt Ett in Skellefteå, Sweden, is powered by renewable energy. The company aims to source 50% of its raw materials from recycled batteries by 2030, facilitated by its Revolt recycling program . Northvolt has also produced its first battery cell using 100% recycled nickel, manganese, and cobalt .Northvolt
2. Treezor (France)
Sector: Green Finance / Embedded Banking
Founded: 2016 (acquired by Société Générale in 2019)
Key Product: Embedded banking infrastructure with ESG compliance features. Business Insider
Treezor is a leading European Banking-as-a-Service (BaaS) provider, offering modular solutions that enable companies to embed financial services into their platforms . The company actively tracks and manages its carbon footprint, demonstrating a commitment to environmental responsibility . treezor
3. Infarm (Germany)
Sector: AgTech / Urban Farming
Founded: 2013
Key Product: Modular vertical farming systems for supermarkets and restaurants
Infarm developed modular vertical farming systems that use significantly less land and water compared to traditional agriculture, and operate without chemical pesticides . The company had partnerships with retailers like Marks & Spencer . However, it's important to note that Infarm faced financial challenges and declared insolvency in its major European markets in 2023. FoodNavigator.com
4. Carbon Clean (UK)
Sector: Carbon Capture & Industrial Decarbonization
Founded: 2009
Key Product: Compact carbon capture units for industrial emitters
Carbon Clean specializes in modular carbon capture solutions for hard-to-abate industries like cement and steel. Their technology has been adopted by companies such as CEMEX and Veolia . The company has raised significant funding, including a $150 million investment round led by Chevron. carbonclean.com
5. Climeworks (Switzerland)
Sector: Direct Air Capture (DAC)
Founded: 2009
Key Product: Machines that remove CO₂ directly from the atmosphere. IEA
Climeworks operates the world's first large-scale DAC and storage plant, Orca, in Iceland, which captures CO₂ and stores it underground through mineralization . The company has secured long-term carbon removal agreements with corporations like Microsoft and Shopify . Climeworks
Final Thought
The article accurately highlights Europe's leadership in sustainable business innovation. While most company profiles are up-to-date, it's worth noting Infarm's recent financial difficulties. Overall, these companies exemplify the continent's commitment to integrating ESG principles into diverse industries.
