Insights

While it is unclear at this stage what exactly a second Trump administration means for U.S. digital, technology, and trade policy, one thing that is clear is that it will involve major changes, especially as it relates to the potential for high, broad tariffs. Media reports and commentary and recent personnel appointments give some early clues on what else a second Trump administration may do. It is an open question as to which Biden administration policies a second Trump administration keeps, revises, or scraps (like Biden administration executive orders on artificial intelligence) and which policies and strategies from the first Trump administration it revives or revises. It is also unclear the extent to which a second Trump administration will consider the interests of allies and close trading partners and whether the Trump administration will pursue its own vision for global technology governance at the G7 and other fora.  

Amid the continued exponential rise and adoption of artificial intelligence (AI) systems, the Council of Europe set a unique precedent earlier this year by adopting the first-of-its-kind legally binding international AI framework. Aimed at ensuring the respect of human rights, the rule of law, and democracy in the use of AI systems, the framework strikes an important balance in addressing the risks throughout the lifecycle of an AI system without hampering innovation.

The Cyber Security Agency of Singapore (CSA) is currently in the process of introducing the first ever amendments to its Cybersecurity Act (CS Act) 2018 via the Cybersecurity (Amendment) Bill.  Through these Amendments, CSA is looking to account for advancements in Singapore’s technology and business landscape since 2018.  It is also hoping to holistically enhance the cybersecurity of not only the country’s critical information infrastructure (CII) but also other digital infrastructure important for Singapore’s economy.

C&M International’s Asia-based digital policy team joined an industry delegation last week at a key gathering to discuss Southeast Asia’s future digital economy. Singapore hosted the 4thASEAN Digital Ministers’ Meeting (ADGMIN) from 30 January to 02 February, 2024 under the theme “Building an Inclusive and Trusted Digital Ecosystem”. Josephine Teo, Singapore’s Minister for Communications and Information, chaired the meeting alongside her counterpart from Thailand, Prasert Jantararuangtong, Minister of Digital Economy and Society as the Vice Chair.

On 15 December 2023, the Cyber Security Agency of Singapore (CSA) opened stakeholder consultation on its draft Cybersecurity (Amendment) Bill 2023. This draft Bill is the first review of the Cybersecurity Act 2018 and aims to enhance Singapore’s cyber resilience in the face of the country’s increasing digitalization.

Beginning on February 8, the members of the Indo-Pacific Economic Framework (IPEF), the Biden-Harris Administration’s signature economic initiative in the Asia-Pacific, held the next framework negotiating round. This round advanced the arrangement’s supply chains, clean economy, and fair economy pillars and continued to build on the negotiating text that was tabled at the last negotiating round. Notably, it did not include negotiations on the trade pillar, of which India is not a member. The Asia-Pacific Economic Cooperation (APEC) Leaders’ Summit, which will be held in San Francisco in late 2023 has been cited as a tentative target date by which the parties hope to conclude the negotiations.

There is a great urgency for all stakeholders, including governments, employers, academia to invest in digital upskilling and reskilling of the workforce, as digital skills become integral to the future of work and post-COVID-19 recovery. According to the APEC Closing the Digital Skills Gap Report: Trends and Insights, in developing economies such as China, Indonesia and Mexico, the demand for digitally skilled workers has been growing much faster than supply. Additionally, economies such as New Zealand, Singapore, and United States are hiring individuals with digital talent at the fastest month on month rates.

On April 21, Canada, Singapore, Japan, the U.S., the Republic of Korea, Chinese Taipei, and the Philippines released a joint declaration announcing the creation of a Global Cross-Border Privacy Rules (CBPR) Forum. This global CBPR Forum, which is drawn from the Asia-Pacific Economic Cooperation (APEC) forum’s existing CBPR and Privacy Recognition for Processors (PRP) Systems, will allow for the expansion of the CBPR system beyond APEC’s twenty-one economies into a truly international framework.

Crowell & Moring International (CMI) commemorates “World Health Day” with the publication of our compiled health policy forecast for the year. “Global Health: A Look Ahead at Trends in Seven Key Areas” explores global health trends and challenges at the forefront of business, government and public concerns.

The Office of the U.S. Trade Representative (USTR) and the U.S. Commerce Department are seeking comments on objectives for the Biden Administration to pursue in development of an Indo-Pacific Economic Framework.

The Asia-Pacific Economic Cooperation (APEC) forum will deepen its engagement with the private sector as it recommits to its role as a policy incubator for digital transformation across the Asia-Pacific. That was the clear message from Heads of State and thought leaders spanning numerous Asia-Pacific economies at the annual APEC “Leaders Week” meetings, which were hosted virtually from November 19-20 by the Malaysian government.

Support is growing rapidly for a new global agreement on marine litter and microplastics. A UN working group met at a virtual conference November 8 – 13 to discuss the issue. At that meeting a vast majority of UN member states including the EU and its member states; the Nordic Council, the Africa Group and its member states, Costa Rica, the Philippines, Peru, Vietnam, Switzerland, Sri Lanka, and the small island states all voiced their support for the development of a new agreement.

Eight years after negotiations began, fifteen countries from the Asia-Pacific signed an agreement on Sunday that will create the world’s largest free trade bloc. The Regional Comprehensive Economic Partnership, or RCEP, will advance economic integration between the ten member states in the Association of Southeast Asian Nations, or ASEAN1, and Asia’s other trade powerhouses, Japan, South Korea, Australia, New Zealand and most notably, China.

A proposed law issued by the People’s Republic of China (PRC) on October 21, 2020, the draft Personal Information Protection Law, seeks to impose restrictions on entities and individuals, including those operating outside of China, that collect and process personal data and sensitive information on subjects in China. The proposed law also provides for penalties up to RMB 50,000,000 ($7.4 million) or up to 5 percent of the entity’s or individual’s preceding year’s revenue. The draft law marks China’s first comprehensive system for the protection of personal information and sets forth general rules for the processing and transferring of personal information across China’s borders.

U.S.-China trade relations and economic policy are highly politicized within the United States, and are key issues in the campaigns of both President Donald Trump and the Democratic nominee, former Vice President Joe Biden. A theme has emerged in the campaign messaging battles, with neither candidate ceding any ground on their “tough on China” bona fides. But as divergent as Trump and Biden are on many policy issues, when it comes to China and trade, there is some overlap between Trump’s executive actions and Biden’s campaign agenda.

While the COVID-19 pandemic has forced the postponement or cancellation of many in-person events around the world, the push for a new global agreement to address marine litter and microplastics is continuing via virtual and online meetings. On June 8th the United Nations (U.N.) hosted a day-long event, to kick off World Oceans week. The President of the U.N. General Assembly, Tijjani Muhammad Bande, called attention to the issue of marine litter in his 2020 message, stating “This year we must take action to prevent a further eight million tons of plastic waste from entering the ocean and protect global ecosystems. We simply cannot stand by while oceans acidify, sea levels rise and pollution increases.”

On June 2, the Office of the U.S. Trade Representative (USTR) launched a series of Section 301 trade investigations into digital services taxes (DST) adopted or under consideration by a number of United States (U.S.) trading partners – including Austria, Brazil, the Czech Republic, the European Union, India, Indonesia, Italy, Spain, Turkey and the United Kingdom. The investigations will initially focus on whether these taxes discriminate against U.S. companies, including concerns about “retroactivity and possibly unreasonable tax policy”. The Federal Register Notice provides a complete overview of the investigations.

On May 27, 2020, the U.S. Secretary of State Michael Pompeo issued a statement that Hong Kong “does not continue to warrant treatment under United States laws in the same manner as U.S. laws were applied to Hong Kong before July 1997.” U.S. relations with Hong Kong are governed by the United States-Hong Kong Policy Act of 1992, which authorizes the U.S.to provide “different” treatment for Hong Kong than it accords the People’s Republic of China in a variety of political, economic, trade, and other areas so long as Hong Kong remains “sufficiently autonomous.”

The international economic policy response to COVID-19 has shifted into a new phase. Most advanced economies are expanding their already substantial fiscal response packages after initial announcements in March and early April. The G20 has endorsed an Action Plan as part of international efforts to chart out a more coordinated economic response. The IMF, World Bank, and regional development banks have pivoted from making new commitments to fast-tracking the approval of dozens of new lending programs to shore up emerging markets. These efforts, while unprecedented in speed and scale, still represent initial steps governments are taking towards supporting their health systems and stabilizing economies in the midst of the pandemic.

The outbreak of COVID-19 has unleashed a furious pace of economic policymaking worldwide as governments seek to protect their economies from collapse, secure needed supplies, and shore up supply chains to meet the needs of their people. This wave of emergency stimulus measures, combined with ongoing lockdowns, is reshaping the business and regulatory landscape in many markets, creating opportunities and risks for global companies. The Crowell & Moring + C&M International team is working with clients on relief and stimulus measures across countries and industries. Here are some key developments: