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President Joe Biden signs executive order to implement US-EU data privacy framework

Washington, United StatesEdited By: Srishti Singh SisodiaUpdated: Oct 07, 2022, 09:06 PM IST
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US President Joe Biden delivers remarks on gun crime and his "Safer America Plan" during an event in Wilkes Barre, Pennsylvania Photograph:(Reuters)

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The executive order provides a new legal framework for trans-Atlantic data flows that are critical to the digital economy, the White House said 

United States President Joe Biden on Friday (October 7) signed an executive order, which is designed to protect the privacy of personal data transfers between the EU and America. The order will also address European concerns about US intelligence collection activities. 

While responding, the European Justice Commissioner Didier Reynders said that the signature "marks a significant step in our determination to restore safe and free transatlantic data flows". 

Reynders tweeted: "Today’s signing of the Executive Order by @POTUS marks a significant step in our determination to restore safe & free transatlantic data flows. Thank you @SecRaimondo & AG Garland for the excellent collaboration. We will now start the work for proposing a new #AdequacyDecision". 

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The White House said that the presidential order provides a new legal foundation for trans-Atlantic data flows, which are vital to the digital economy. 

Now the next process is expected to take several months as the order will be subject to review and ratification by the European Commission. 

Commerce Secretary Gina Raimondo told reporters: "This is a culmination of our joint efforts to restore trust and stability to trans-Atlantic data flows. It will enable a continued flow of data that underpins more than a trillion dollars in cross-border trade and investment every year." 

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What was the need for such an order? 

The executive order addresses issues that the Court of Justice of the European Union raised when it determined that the earlier Privacy Shield structure did not offer sufficient security, the White House said. 

US tech giants have faced a barrage of lawsuits from EU privacy activists concerned about the ability of US intelligence services to access the personal data of Europeans. 

Europe's top court has invalidated previous arrangements after hearing complaints that US laws violate the fundamental rights of EU citizens. 

(With inputs from agencies) 

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