{"id":552474,"date":"2025-11-06T07:58:19","date_gmt":"2025-11-06T07:58:19","guid":{"rendered":"https:\/\/www.europesays.com\/uk\/552474\/"},"modified":"2025-11-06T07:58:19","modified_gmt":"2025-11-06T07:58:19","slug":"eu-opens-probe-into-crrc-bid-for-lisbon-light-rail-project","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/uk\/552474\/","title":{"rendered":"EU opens probe into CRRC bid for Lisbon light rail project"},"content":{"rendered":"

The European Commission has opened an in-depth investigation under the Foreign Subsidies Regulation (FSR) into potential market distortions caused by foreign subsidies in connection with a Portuguese public procurement procedure for light rail vehicles.<\/strong><\/p>\n

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The inquiry will examine whether foreign state support may have given China\u2019s state-owned rolling stock manufacturer CRRC<\/strong> an unfair advantage<\/strong> in the tender process for the design, construction and maintenance of a new light rail line in Lisbon<\/strong>.<\/p>\n

Possible unfair advantage from foreign subsidies<\/p>\n

Following a preliminary assessment, and without prejudging the outcome, the Commission found sufficient indications that Portugal CRRC Tangshan Rolling Stock Unipessoal Lda.<\/strong> may have received foreign subsidies that distorted the internal market<\/strong>, justifying the launch of a formal investigation.<\/p>\n

The Commission will now assess whether these subsidies enabled the company to submit an unduly advantageous bid<\/strong>. Depending on the findings, the Commission may, after the in-depth investigation, accept commitments to remedy the distortion<\/strong>, prohibit the award of the contract<\/strong>, or issue a \u201cno-objection\u201d decision<\/strong>.<\/p>\n

Case triggered by notification of Lisbon tender consortium<\/p>\n

The investigation follows a notification submitted by a consortium led by Mota-Engil<\/strong>, which includes subcontractors such as Portugal CRRC Tangshan Rolling Stock Unipessoal<\/strong>. The consortium participated in a Metropolitano de Lisboa<\/strong> tender launched in April 2025<\/strong> for the design, construction and maintenance of the new \u201cviolet\u201d line<\/a><\/strong>.<\/p>\n

The Commission stated that the inquiry underscores its determination to ensure fair competition and a level playing field<\/strong> in the EU single market.<\/p>\n

St\u00e9phane S\u00e9journ\u00e9<\/strong>, Executive Vice-President for Prosperity and Industrial Strategy, said:<\/p>\n

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\u201cToday we are launching an investigation under the Foreign Subsidies Regulation to assess whether foreign subsidies have enabled the Chinese state-owned rolling stock manufacturer CRRC to submit an unduly advantageous bid in a Portuguese light rail tender.<\/p>\n

Europe\u2019s openness depends on all participants playing by the rules. Protecting our Single Market against distortions is essential to ensure fair competition, to support companies competing on their merits, and to safeguard the Union\u2019s economic security.\u201d<\/p>\n<\/blockquote>\n

Potential impact on the Lisbon Metro project<\/p>\n

The review is not expected to halt the violet line project entirely, but it could delay final contract decisions<\/strong> as the Commission\u2019s investigation proceeds. Any ruling that restricts the involvement of one consortium could lead to a re-evaluation of bids<\/strong> and extend the project timeline.<\/p>\n

The violet line is one of Lisbon\u2019s most significant urban rail projects in recent years, encompassing the design, construction and maintenance<\/strong> of a new light rail system to expand the Portuguese capital\u2019s metro network. The tender was launched in April 2025<\/strong> by Metropolitano de Lisboa<\/strong>.<\/p>\n

The Foreign Subsidies Regulation<\/strong>, in force since 2023, empowers the Commission to investigate and address distortions caused by financial contributions from non-EU countries<\/strong> that may unfairly influence competition within the EU.<\/p>\n

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