Key Issues and Response Strategies for Cross-border Data Transfer

As the use of digital technologies such as IoT, AI, big data, and cloud computing spreads, the importance of data is increasing. Data is a key resource that determines the competitiveness of a company and the lifeline of the digital economy. Therefore, to activate digital trade, data must be freely transferred across borders. However, many countries are gradually strengthening regulations on cross-border data transfer to protect personal information. Therefore, to activate digital trade, it is necessary to find appropriate measures to protect personal information while ensuring cross-border data transfer. This paper examines major issues discussed in the field of digital trade, such as cross-border data transfer, data localization, and source code. We propose Korea’s response strategies to key issues related to cross-border data transfer, such as reorganizing Korea’s digital trade-related laws and regulations, improving digital trade-related policies and systems, actively responding to major countries’ digital trade policies, and utilizing digital trade agreements.