US-EU Trade and Technology Council to face challenges over data privacy policies

It was recently announced that the US will be collaborating with the European Union (EU) in order to align their technology policing despite challenges over data privacy policies.

Indeed, the United States-European Trade and Technology Council (TCC), which was launched in June, aims to lead international digital transformation through cooperation on technology and regulatory policies, digital issues, and supply chains. It is also developing technology standards and support collaborative research.

However, there are some concerns over every country’s approaches to data privacy and regulation, and its views on relationships with China. The many differences between the US and the EU on trade fronts and regulatory policy can indeed become problematic. It is then difficult to coordinate and make progress across all areas, which include emerging technology, clean technology, supply chains, data governance, and technology platforms.

It was reported that the TTC should prioritize the Privacy Shield Frameworks and issues related to data protection to lead collaboration. The Privacy Shield Frameworks offers a mechanism for companies to follow data protection requirements when moving personal data from the EU to the US.  However, in 2020, it has been invalidated by the Court of Justice of the European Union on the grounds that it didn’t comply with the level of data protection required by the EU.
In order for countries to cooperate on developing technology policies and standards, it is then essential to solve the privacy shield issue first.