File photo: CFP

By Brasil 247 - A court in São Paulo has granted a significant legal victory to Power China in Brazil, ensuring the continued participation of a consortium backed by the Chinese state-owned company in a major metro infrastructure bidding process. The decision, reported by Brasil 247, concerns the tender for Lot 1 of the Line 19-Celeste project of the São Paulo Metro, estimated at approximately 5 billion reais.

The São Paulo Court of Justice (TJ-SP) granted partial active effect to an interlocutory appeal filed by the Nove de Julho Linha 19 Yellow River Mendes Junior Highland Consortium, which includes Power China among its members. The ruling guarantees the consortium's permanence in the bidding process until a final judgment is issued.

The consortium had initially been technically qualified by the São Paulo Metro authority and declared the winner after submitting the lowest financial bid for the project. However, following an administrative appeal filed by the runner-up - the Agis-Ohla-Cetenco Consortium - the Metro reversed its decision and declared the original winner disqualified, citing the alleged inadequacy of a technical certificate.

In its analysis, the court identified what it described as an apparent discrepancy between two administrative acts: the first recognizing compliance with technical requirements, and the second declaring the consortium ineligible. The ruling pointed to the likelihood of legal grounds supporting the need for further administrative clarification.

While the court considered it disproportionate to fully suspend the bidding process at this stage, it acknowledged the risk of damage if the procedure continued without the participation of the consortium that had submitted the lowest offer. As a result, it ordered the preservation of the group's bidding rights.

The decision ensures that the consortium may take part in all public sessions, administrative reviews and subsequent phases of the tender, including the right to file administrative appeals, until the court reaches a final determination.

Line 19-Celeste is regarded as one of the most strategic transport infrastructure projects in São Paulo state. The planned metro line aims to connect the capital with metropolitan areas, expand the rail network and reduce reliance on road transport.

Although the ruling does not definitively confirm the consortium's technical qualification, it prevents its immediate exclusion and reinforces procedural safeguards in large-scale public tenders. 

(Reported by Brasil 247 on Feb 25, 2026)