The restriction was the first time the European Union has used its International Procurement Instrument, a 2022 regulation that allows reciprocal measures when it comes to public procurement.
The move was likely to increase trade tensions between Brussels and Beijing at a time of broadened commercial volatility brought on by Washington's swingeing tariffs.
An EU diplomat speaking on condition of anonymity said the bloc's move adopting restrictions suggested by the European Commission were proportional, without giving details.
An EU investigation concluded in January that China discriminated against EU medical devices in its public procurement, including in state-owned hospitals.
The China Chamber of Commerce to the EU in a statement expressed "profound disappointment over this decision".
It said it had "serious concerns about the EU's move to limit Chinese enterprises' participation in the EU procurement market, particularly in the healthcare sector".
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