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Cross-Border ‘Data Adequacy’ Frameworks under GATS Article VII: Aligning WTO Members’ Rights to Protect Personal Data with Their International Commitments

Year: 2025
Type: article
Abstract: The exponential growth of cross-border data flows and fragmented national and regional data protection standards have intensified regulatory challenges in global trade. The effects of regulatory divergence are amplified by a lack of transparency, potentially masking discriminatory practices. Article VII of the General Agreement on Trade in Services (GATS) offers a framework for recognition agreements to bridge these gaps but is not utilized in practice. This paper examines the interplay between GATS Article VII and the EU data adequacy decisions – currently the most comprehensive bilateral framework for assessing compatibility between data protection regimes among other WTO members. It argues that data adequacy frameworks qualify as recognition agreements/arrangements under GATS, offering potential to reduce the trade effects of differences in data protection laws globally while safeguarding regulatory autonomy. A roadmap for leveraging Article VII to advance international alignment is developed to help realize the dual goals of enhancing global cooperation and strengthening privacy protection.
Language: English
Open Access status: hybrid
Estimated APC paid: $3,550
OpenAlex ID: W4409620108
FWCI: 3.863
Cites: 16
Cited by: 1
Related to: 10