Transatlantic data flows back on track

The US administration today announced steps to ensure heightened protection for personal data transferred across the Atlantic. These measures follow up from the agreement in principle with the European Commission last March.

DIGITALEUROPE’s Director General Cecilia Bonefeld-Dahl said:

Over 90 per cent of EU-based businesses – the vast majority EU-headquartered companies – transfer data to and from the US. At this historic juncture and in times of war, it is critical for the EU and the US to be able to stand together to show that data flows, trade and human rights can be defended to the highest standards.

These concrete measures took months to finalise. We take this as a clear sign that thorough decisions were made about changes in the US system, which can ensure the new framework will meet European legal standards for the long run.

The US Executive Order and ensuing regulations pave the way for a formal adequacy assessment by the European Commission, which will be conducted over the coming months.

The new framework would set forth a high level of data protection in companies’ transatlantic data transfers. Over 85% of global growth by 2024 is expected to occur outside the EU. The US remains the EU’s largest trade and investment partner by far. Europe stands to gain €2 trillion and 2 million jobs by the end of 2030 if we fully leverage international data transfers.