D.2. Impact on trade patterns from changes in data localisation policies

Figure A D.2 displays the projected change in real exports between regions with different data localisation regimes (upper panel) and in different geopolitical blocs (lower panel) for Scenarios A-C since Scenario D is almost identical to Scenario 4 and thus already discussed in Annex C. In Scenario A No data localisation the largest projected increase in exports is projected for trade between regions with regimes 1 and 2 and other regions, for example between 0 and 1 and between 1 and 2. The reason is that data management costs are projected to fall most for these regions. In regions with regime 0 there are no projected changes in costs. This is also the case for most regions with regime 3, because they tend to have both prohibitive data localisation and data flow policies.