The White House has crafted a new deal with the EU that could again allow companies to transfer data and personal information across the Atlantic, a highly anticipated move that could provide assurances to thousands of companies.
That’s especially after the decision of Europe’s highest court to terminate the predecessor agreement to this one, in 2020.
In joint statements with European Commission President Ursula von der Leyen, U.S. President Joe Biden said on Friday that the new partnership will “once again authorize transatlantic data flows that help facilitate US$ 7.1 trillion in economic relations with the EU”.
“This will enable predictable and reliable data flows between the EU and the US, protecting privacy and civil liberties,” von der Leyen said.
The announcement signals the possible end of nearly two years of uncertainty after the European Court of Justice invalidated the Privacy Shield, an earlier version of the agreement.
The US-EU agreement aims to ensure that EU citizens’ personal information can be moved to US data centers while maintaining EU-level privacy protections.
Thousands of companies — and not just technology companies — rely on the smooth flow of data across the Atlantic every day. According to a 2020 Congressional letter to the Department of Commerce and the Federal Trade Commission, US-EU data flows “are the highest in the world.”
“Transatlantic data flows enable people and companies to transmit information for online communication, track global supply chains, share research, provide cross-border services, and support technological innovation, among other activities,” the Congressional Research Service wrote in a report this year. past.
The 2020 ruling by the European Court of Justice, over concerns that US surveillance laws inadequately protect the rights of EU citizens, threatened to disrupt these data flows.
In the wake of that decision, many companies faced difficult choices: their options were limited to exiting European markets, storing and working with EU data only within the EU, or moving increasingly to standardized contractual language about pre-built data sharing. approved by the EU.
While Facebook and other tech giants have increasingly opted for the latter, so-called standard contractual clauses have been described by some experts as unsustainable in scale and potentially more expensive for companies to maintain.
“In general, the costs associated with using SCCs are higher than those associated with participating in the Privacy Shield,” the Congressional Research Service report said.
The new comprehensive data transfer agreement could completely avoid these headaches.
Under the interim agreement, which is yet to be finalized, US surveillance authorities will only access EU citizens’ data “to further legitimate national security objectives” and will not “disproportionately impact… a statement from the White House.
EU citizens will also gain new ways to seek redress if they believe they have been illegally watched.
The Biden administration will codify its commitments in an upcoming executive order, the document said.
Biden and von der Leyen also announced cooperation commitments on cyber and cryptocurrency security, two issues that have immediate implications for the war in Ukraine and more broadly.
In a joint statement, the two leaders pledged to “coordinate cybersecurity assistance and provide internet access” to Ukraine, while also cooperating to share information on cyber threats and doubling down on the effort to stop ransomware gangs.
They also announced a “transatlantic race” to share “financial intelligence” on the illicit use of cryptocurrencies, part of a broader effort that includes measures to stop Russia from using cryptocurrencies to avoid international sanctions.
“Together, we intend to deepen our shared commitment to advancing the fight against money laundering and the financing of terrorism… for digital assets, in line with the Financial Action Task Force (FATF) standards,” the statement reads.
Source: CNN Brasil
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