Overview of Argentina’s Cross-Border Data Transfer Regulation

Argentina’s regulation mandates consent for data transfers, limiting exceptions. Transfers to countries with inadequate data protection are largely prohibited. U.S. tech firms face increased operational costs and possible impediments to innovation. Conversely, Chinese companies may capitalize on these challenges to enhance their foothold in Argentina’s market.

Argentina’s Cross-Border Data Transfer Regulation necessitates that data subjects grant consent for international data transfers and be informed of the recipient’s identity. Exceptions exist for public health, state agency collaboration, and certain financial transactions. Transfers to countries lacking adequate data protection are prohibited unless individuals provide explicit consent or meet other narrow conditions, creating challenges for foreign companies in data movement across borders. The stringent privacy standards compel firms to either comply locally or restrict sensitive data storage.

Argentina’s rigorous data transfer regulation imposes significant compliance challenges for U.S. technology companies, potentially diminishing their competitive edge in international markets. Chinese firms may exploit these regulatory hurdles to strengthen their presence in Argentina’s tech sector by aligning with local requirements and fostering government relationships. Ultimately, Argentina’s approach may reshape the dynamics of data governance and competition in the technology landscape.

Original Source: itif.org