Exporters based in the US are governed by various rules and regulations. One such set of regulations govern sensitive information, technology and software. These three areas are earmarked as extremely important because of their role in the US foreign policy and national security. It is worth noting that such regulations are not only limited to physical goods. Instead, they also apply to non-tangible aspects of the trade such as technical data exports. This article focuses on the key risks related to technical data exports and analyzes the reasons behind the spike that has been witnessed in such risks in recent times.
The export of tech data is unlike any other physical object. This is because data can exist in multiple places at the same time. Similarly, the movement of data from one country to another can be done in an instant. It does not require any physical monitoring or verification. However, this does not mean that you don’t need to protect your technical data exports. There are multiple risks related to tech data exports, including the following:
The intensity of the above risks has increased even further in recent times. This is because of two major reasons. Firstly, the ongoing coronavirus crisis has meant that hackers and scammers have become more active. These hackers are always on the lookout for vulnerable data servers that they could exploit. This presents a major danger to businesses that are data intensive. The COVID-19 pandemic has made it even more important for companies to protect their tech data exports.
The second reason why such risks have increased is that there is growing uncertainty in the international trade community. This uncertainty has been fueled by the ongoing trade war and the impending renegotiation of trade deals between countries. For instance, the US is working on a new trade deal with the UK that would cover all aspects of tangible and intangible exports between the two countries. Such uncertainty has meant that companies are often unaware of the latest regulations pertaining to technical data exports. This is why companies need to focus on areas such as trade automation.
In order to mitigate the above risks, it is advisable that companies seek the help of experts in the global trade management industry. One solution could be to deploy global trade management software that tracks all aspects of your international transactions. Trade solution providers such as OCR Trade Management could help your business in dealing with the uncertainties and risks related to technical data exports. Our solutions will streamline your trade operations and help you in keeping updated with the latest rules and regulations. Please contact us to find out more about how we can help you with our global trade management offerings.