China has expressed strong concerns following the recent announcement by the European Commission to launch a probe into a Chinese train manufacturer's alleged subsidy issues in its bid for a project in Bulgaria, the Ministry of Commerce said on Thursday.

China calls on the European Union to strictly abide by the rules of the World Trade Organization and respect market principles while exercising caution in the use of Foreign Subsidies Regulations, said He Yadong, the ministry's spokesman, at a news conference in Beijing.

The EU should conduct the investigation openly and transparently to provide a fair and non-discriminatory business environment for Chinese enterprises, to maintain the overall China-EU economic and trade cooperation, He added.

Brussels initiated an in-depth investigation into CRRC Qingdao Sifang Locomotive - the world's largest rolling stock manufacturer, on the grounds of alleged subsidy distortion of the EU single market in mid-February.