No Transfer, No Trade - the Importance of Cross-Border Data Transfers for Companies based in Sweden Olle Grünewald Trade Policy Adviser, Swedish National Board of Trade

Presentation at CIFTIS, Beijing 29 May 2014

In a nutshell

•  How do firms trade in the 21st century? •  Digital solutions and data transfer •  Transactions and trade produces data •  Barriers to cross-border data flows •  Affects trade, especially local data storage regulation

Different types of data used by companies

Source: WEF (2011)

Data transfer needs and the experiences of companies based in Sweden

Why companies need to transfer data

Part of business offer •  Service delivery •  3rd party digital services •  Provide digital infrastructure

Part of internal process •  Human resources data •  R&D

Barriers to cross-border data flows

•  Localisation demands !  Forced localisation

• Establish data centre to deliver a service !  Local storage

•  Limits on processing/storing outside the country •  Data protection regulations affect trade in all sectors !  Affects innovation !  Not just MNE

Concluding reminders

•  Data transfers are important for ALL companies •  Regulation must focus on the right things •  LCR most problematic •  Harmonisation central •  Clear rules

Thank you for your attention!

• Website !  www.kommers.se/In-English/

•  Download the report and other reports on global value chains and servicification !  www.kommers.se/In-English/Global-value-chains/

•  Contact information !  Olle Grünewald !  Email: olle.grunewald@kommers.se !  Tel: +46 73 424 48 73