On 7 May 2025, the European Union and Singapore formally signed the EU-Singapore Digital Trade Agreement. Article 5 prohibits either Party from requiring that data be stored, processed, or transmitted using computing facilities located within its territory. This includes bans on localisation requirements as a condition for doing business, or mandates favouring domestic infrastructure. The Agreement allows for exceptions only when such measures are necessary to achieve legitimate public policy objectives and are applied in a non-discriminatory and proportionate manner.
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