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Statement On The Signing Of The U.S.-Japan Digital Trade Agreement

Washington, DC – IA Director, Trade Policy Jordan Haas issued the following statement on the signing of the U.S.-Japan Digital Trade Agreement by the U.S. and Japan:

“This agreement is a critical step in cementing the digital framework that’s led to the success of the U.S. digital sector and the broader economy. Businesses of all sizes and in every sector of the economy rely on the internet to export, grow, and hire. This agreement will strengthen our digital economy, supporting millions of U.S. jobs. The U.S. boasts a global digital trade surplus of more than $172 billion, and this agreement will bolster that success.

“The strong digital provisions in the agreement codify the U.S. and Japan’s commitment to the free flow of information across borders, prohibitions on forced data localization, and robust intermediary liability protections that ensure internet services can both host and moderate content on their platforms.

“Provisions that ensure the free flow of information across borders and prohibit data localization will ensure businesses of all sizes can operate across borders and reach the Japanese market. Sound intermediary protections enable online commerce, allow online platforms to function and moderate harmful content, and facilitate massive volumes of U.S. digital exports, especially by small businesses. Limitations on the disclosure of source code and algorithms protect U.S. innovation. The agreement also promotes open access to government data to foster economic and social development, competitiveness, and innovation. 

“We commend USTR and the administration for negotiating and signing a deal that will strengthen our digital framework and boost U.S. jobs, growth, and commerce.”