ARTICLE 44: CALCULATION OF THE COST OF PRODUCTION IN LINKED OPERATIONS
The cost of production, general expenses and the profit margin should correspond to normal commercial operations.
Regarding the cost of production, when the materials and components are purchased from linked suppliers under the terms of article 61 of this Regulation (RLCE: Art. 61), the interested party must prove that the prices of these transactions are similar to those of purchase transactions with unlinked parties. If the acquisition prices of linked parties turn out to be lower than the prices of purchase transactions with unlinked parties, for the purpose of calculating the cost of production, the former will be replaced by the latter.
When only purchases have been made from linked suppliers, the acquisition prices will be compared against the prices at which the linked suppliers have sold the same materials and components to unlinked companies. If this second method is not practicable, the prices of purchase transactions with unlinked parties will be obtained through any other method of economic research and based on the facts that are known.