The framework for mutual and smooth transfer of personal data between Japan and the European Union has come into force, on 23 January 2019.
In the process of building the framework, receiving the requests from the industries in both Japan and the EU, the Personal Information Protection Commission (PPC) and the European Commission had discussions repeatedly and finally reached an agreement in July 2018 on a policy for the PPC to designate the EU based on Article 24（※） of the Act on the Protection of Personal Information, and for the European Commission to make an adequacy decision for Japan based on Article 45 of the GDPR. Based on this agreement, the PPC made decision to designate the EU on 23 January at 85th Personal Information Protection Committee. The European Commission also adopted adequacy decision for Japan on 23 January.
Article 24 is amended to be Article 28 under the Act on the Arrangement of Related Laws for the Formation of a
Digital Society (effective as of April 1st, 2022).
With this framework, the world’s largest area of safe and smooth data transfers will be created. For global business operators, it is expected that operational efficiency would be improved, the cost would be reduced and new business model would be created, which may also benefit consumers.