Understanding the role of the WTO in international data flows: Taking the liberalization or the regulatory autonomy path?

Abstract

Recent years have witnessed a surge in discussions relating to data and data flow in trade fora. This was predictable given the importance of data for trade in the digital economy, especially e-commerce. However, there is a major discord between WTO members on issues relating to data flows and data localization. This article sets out to understand how data flows across borders and the types of trade restrictive data localization measures members use. The analysis of various restrictions on data flows imposed by states reflects the different objectives behind them, targeting all or specific types of data. Such regulations potentially violate existing WTO commitments. The article concludes with a call for issuing a multilateral amendment of existing norms, and undertaking a data differentiated approach to resolve the deadlock at the WTO.