RCEP rules on cross-border data flows: Asian characteristics and implications for developing countries

Abstract

ABSTRACT Data, as an essential production factor and a fundamental strategic resource in the digital economy era, have profoundly transformed production methods, lifestyles, and social governance, becoming one of the critical factors influencing the global competitive landscape. The United States and the European Union are actively making comprehensive arrangements around data flow issues, integrating their interests and values into data governance rules to influence other countries. Against the backdrop of increasingly intense global rule-making competition in digital trade, the Regional Comprehensive Economic Partnership (RCEP), led by the Association of Southeast Asian Nations (ASEAN) and actively promoted by China, covering 15 countries in the Asia-Pacific region, is sending a strong and powerful Asian voice regarding cross-border data flow rules. This article attempts to highlight the Asian characteristics of the data cross-border flow rules within RCEP through a horizontal comparison of regional trade agreements. These characteristics primarily include the principle of free cross-border data flow; fully protecting the host country’s national security through exceptional clauses; relatively lenient regulation of personal information protection; and adhering to the principle of non-reciprocity to respect and embrace countries at different development levels. Consequently, it is concluded that RCEP has constructed an Asian paradigm for cross-border flow of data that matches the development status of the Asia-Pacific countries and is worthy of emulation by other developing nations.