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Transcript: Governments regulate internet at local level, decide access to information. When governments censor, filter or block or demand data localization, they violate non-discrimination and distort trade. Foster Splinternet? Hence, need binding global rules and WTO trade disputes to clarify. Inconsistent protectionism: national security procurement US has long recognized key role of trust online. To build and maintain trust, must have privacy and secure systems. Yet in 2015 US complains privacy requirements re. domestic servers for Australia, Canada. US complained about Japan’s uneven and Vietnam’s unclear approach to privacy. US deeply concerned about compliance costs with EU data protection requirements especially right to be forgotten. The US has also argued that China’s failure to fully enforce its privacy laws stifles e-commerce. Privacy as a consumer right TPP also states that regulations, including Internet-related regulations, must be developed and applied in a transparent and accountable manner, allowing individuals and firms to challenge such policies if they violate trade norms. Possibly rights enhancing. US wants to encourage a vibrant global Internet with few barriers to entry. US objectives re. digital trade rules reflect changing international economic/ political context Internet evolution Nondiscrimination Trade Rules could protect open Internet USITC: “barriers or impediments to digital trade including censorship, filtering, localization measures and regulations to protect privacy.” US definition says nothing about the regulatory context and role of trust, although since 1996, USG has asserted that trust in providers in key to success of Internet. But some governments see data localization or procurement policies as a strategy to maintain trust, establish national regulatory context, and protect citizens from harm. In 2015 NTE, US criticized Canada for banning foreign providers from bidding on Canada’s email platform. Canada admitted it does not conform with the GPA and invoked national security exception. But US acts in a similar manner. Congress declared in 2013 Appropriation Act that DOC and DOJ can’t buy information technology systems “produced, manufactured, or assembled” by entities “owned, directed, or subsidized by PRC.” Imbalance: Digital Protectionism In conclusion, US Increasingly alleges digital protectionism But many questions remain. 1. Will Congress even vote on TPP? 2. Will TPP exceptions essentially cancel out potential benefits? 3. Will there be a separate EU/US agreement regarding data flows or can it be included in TTIP? 4. What about issues EU cares about like data protection or geo-blocking? 5. What does it mean for TiSA if US and EU can't find common ground on norms for cross-border information flows? US did not include “fair use” or ISP liability provisions in FTAs. exceptions for use of copyrighted materials on/offline and protect ISPs from liability when individuals misuse copyright. Key elements of regulatory environment. In 2016 US cited inadequate regulatory environment Chile and India, as barriers to trade. Clearly US did not delineate what an appropriate regulatory environment for the Internet “is. ” Yet it in 1997 USG Internet strategy outlined by President Clinton in 1997, USG a ‘Framework for Global Electronic Commerce.’ The US government “will develop an informal dialogue with key trading partners…to ensure that differences in national regulation … do not serve as disguised trade barriers.” Say little EXPLICIT about human rights and nothing about the Open Internet! But trade agreements are built on central tenet of human rights - NONDISCRIMINATION. Will that stop with Trump? Unlikely given import of Internet industries. Trump's FTA less re. regulation Internet platforms have transformed who trades, new technologies like apps, AI, 3D printing will change how we trade. Avoid protectionism. What are the human rights responsibilities of states regarding cross-border information flows? Nondiscriminatory principles ability to challenge other countries' censorship, discrimination . But governments can rely on exceptions to censor, filter or block TPP = 25% of all Internet users spillover compliance effect. Important markets... other nations will have to comply if TPP goes into effect. Japan is moving US --A BIG IF. Priorities: fix 3 components of the Digital trade Imbalance US support for binding rules re. free flow and rising assertions of digital protectionism. imbalance US/EU human rights language and aspirations imbalance re. rules re free flow and internet stability One way to build shared norms is to show censorship distorts information flows. US is essentially saying unclear or inadequate approaches to enforcing privacy is a trade barrier and too strong enforcement of privacy is a trade barrier. But need privacy to enable online trust. Should signal need for global norms re. privacy. Addresses services delivered from one party into the territory of another;
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