Argentina’s cross-border data transfer regulation requires consent from data subjects for international data transfers, with some exceptions. The framework complicates operations for U.S. tech companies, while inadvertently favoring Chinese competitors who can adapt to local laws better. This ultimately strengthens China’s position in the digital market as U.S. firms face increased compliance costs.
Argentina has implemented stringent regulations regarding cross-border data transfers, necessitating consent from data subjects and the disclosure of recipient identities. Public health, official agency collaboration, and particular financial transactions are among the limited exceptions. Transfers to countries lacking adequate data protection are prohibited unless explicit consent is obtained or specific conditions are met, severely restricting foreign companies’ data mobility unless they adhere to Argentine privacy standards or store sensitive information locally.
In summary, Argentina’s cross-border data transfer regulations impose significant operational challenges on U.S. technology firms, increasing legal costs and hindering service efficiency. In contrast, these measures provide advantages for Chinese enterprises, which can easily adapt to local requirements, enhancing their competitive position in the region and potentially leading to increased market share at the expense of American companies.
Original Source: itif.org
