“The Commission today opened an in-depth investigation under the regulation on foreign subsidies into possible market distortions caused by foreign subsidies. The investigation will examine whether these subsidies gave the Chinese state-owned rolling stock manufacturer CRRC an unfair advantage in participating in a public tender for the acquisition of light rail vehicles in Portugal,” the institution announced in a statement.

Brussels says the investigation follows a notification from a consortium led by Mota-Engil, which includes subcontractors such as Portugal CRRC Tangshan Rolling Stock Unipessoal, and participated in a Lisbon Metro tender launched in April 2025 for the design, construction, and maintenance of the new violet line, which will connect Odivelas to Loures.

According to the European Commission, there is “sufficient evidence that Portugal CRRC Tangshan Rolling Stock Unipessoal may have benefited from foreign subsidies that distorted the internal market, justifying a thorough investigation.”

The investigation now aims to assess whether such subsidies gave the company an unfair advantage in the tender and, depending on the conclusions, the Commission may impose corrective measures, prohibit the awarding of the contract, or issue a decision of no objection.

“This demonstrates the Commission’s determination to ensure fair competition and a level playing field in the EU,” says the Commission.

According to the Government, the tender for the construction of the Violet Line of the Lisbon Metro will be launched in December 2025.

In a statement released in July, the Lisbon Metro said it had received four bids in the tender for the construction of the Violet Line, with Mota-Engil's bid being the lowest.

The tender for the Violet Line was launched by the Lisbon Metro on April 15th, with a base price of €600 million, plus VAT.

The consortium formed by Mota Engil, Engenharia e Construção, S.A./Zagope – Construções e Engenharia, S.A./Spie Batignolles Internacional – Sucursal em Portugal proposed the construction for €598.8 million.

This investment is part of the expansion of the Lisbon Metro network and is scheduled for completion in 2029.

The Violet Line, with a length of 11.5 kilometers, includes 17 stations: nine in the municipality of Loures (serving the parishes of Loures, Santo António dos Cavaleiros and Frielas, covering approximately 6.4 kilometers) and eight in the municipality of Odivelas (serving the parishes of Póvoa de Santo Adrião and Olival de Basto, Odivelas, Ramada and Caneças), covering a total length of approximately 5.1 kilometers.

The stations will have different typologies, with 12 at ground level, three underground and two in trenches.

The first public tender for the Violet Line project was launched on March 15, 2024, and resulted in the exclusion of all proposals submitted by economic operators, as they exceeded the base price of the tender by an average of approximately 46%.