Europe's hidden champions: Unlocking the potential of mid-caps for competitiveness and security

16 October 2024
Policy Dialogue

Speakers: David Cousquer, CEO and founder of Trendeo; Holger Kunze, Director of the European Office, German Engineering Federation (VDMA); Krista De Spiegeleer, Policy Officer, Small Mid-Caps, European Commission, DG GROW; Sylvie Grandjean, Chairwoman of Redex, Vice-President of Mouvement des Entreprises de taille intermédiaire

Moderator: Philipp Lausberg, Policy Analyst, Europe’s Political Economy Programme, European Policy Centre

Mid-caps are essential actors in Europe's industrial ecosystems, playing key roles in sectors such as electronics, health, energy and renewables, as well as aerospace and defense. However, these “hidden champions” often encounter challenges that hinder their development, including disproportionate regulatory burdens and less public support compared to SMEs and large corporations. These obstacles limit their capacity to contribute to EU competitiveness and economic security in line with their full potential.

The Commission is increasingly recognising these issues. President von der Leyen announced a new ‘small mid-caps' category in her 2024-2029 political guidelines, and Mario Draghi's recent report calls for targeted regulatory and industrial policies to support them.

This hybrid Policy Dialogue explored the role of mid-caps in Europe’s economic landscape and identified actionable solutions to unlock their full potential. Panelists discussed the current challenges facing mid-caps and regulatory and industrial policies to enhance their competitiveness.