European Commission | 1 July 2024
EU-Japan deal on data flows enters into force
- Press release
Today, the landmark deal on cross-border data flows between the EU and Japan entered into force.
This deal is a milestone in our joint efforts to advance the digitalisation of European and Japanese societies and economies. Its provisions will facilitate business on both sides, sending a strong signal against digital protectionism.
With its inclusion in the EU-Japan Economic Partnership Agreement (EPA), the agreement will deliver real benefits to companies active across most sectors, such as financial services, transport, machinery, and e-commerce. Businesses can now handle data more efficiently, without cumbersome administrative or storage requirements, in a predictable legal environment.
This entry into force of this agreement also promotes the concept of ‘Data Free Flow with Trust’, a guiding principle for international cooperation on data flows, based on our shared values. It allows us to lay the foundation for a common approach on digital trade, acting against arbitrary unjustified restrictions to data flows, while promoting shared prosperity.
- [Read the text of the agreement->EU-Japan FTA: Data flows and personal data protection protocol (Dec 2023)]
Background
In October 2022, the EU and Japan decided to start the negotiations to include rules on cross-border data flows in their EPA.
The value of the fast-growing EU-27 data economy was estimated at €325 billion in 2019, representing 2.6% of gross domestic product (GDP). It is expected to almost triple by 2025, reaching about €830 billion (5.8% of the EU's overall GDP). For Japan, data economy was estimated to represent 1.2% of GDP in 2019.
