H.R. 3801House117th Congress (2021-2023)In Committee

SHIELD Act

Sponsored by Fred UptonRep. Fred Upton (R-MI)
Introduced June 8, 2021

AI-Generated Summary

Updated February 8, 2026 at 4:05 AM UTC

The SHIELD Act directs the Secretary of Commerce and the Federal Trade Commission to evaluate U.S. regulations that require data to stay within a country (data localization). Within two years they must study how such rules affect electronic commerce, data sharing, and the U.S. economy, create a publicly‑available list of those regulations, keep it updated, and report their findings and policy suggestions to Congress. The bill mainly impacts businesses that handle cross‑border data and policymakers overseeing trade and consumer protection.

Key Provisions

  • Require the Commerce Secretary and FTC to jointly conduct a study on electronic commerce, data sharing, and data flow within two years of enactment.
  • Survey businesses to assess the economic benefits of free data transfer, the impact of non‑tariff digital trade barriers, and the advantages of data agreements.
  • Create a compendium of data‑localization laws, with a system to maintain, track, and update it at least annually.
  • Submit a report to the House Energy and Commerce Committee and the Senate Commerce, Science, and Transportation Committee with study results and recommendations for future legislation.

Legislative Activity

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2 earlier actions
HouseCommittee Latest Action

Referred to the Subcommittee on Consumer Protection and Commerce.

June 9, 2021

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HouseIntro Referral

Introduced in House

June 8, 2021

HouseIntro Referral

Referred to the Committee on Energy and Commerce, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

June 8, 2021

HouseCommittee

Referred to the Subcommittee on Consumer Protection and Commerce.

June 9, 2021

Bill Text

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Introduced in HouseIssued June 8, 2021

I

117th CONGRESS

1st Session

H. R. 3801

IN THE HOUSE OF REPRESENTATIVES

June 8, 2021

Mr. Upton introduced the following bill; which was referred to the Committee on Energy and Commerce, and in addition to the Committee on Foreign Affairs, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

A BILL

To require the Secretary of Commerce and Federal Trade Commission to conduct an assessment and analysis of regulations regarding data localization and to establish a compendium of such laws and develop a means for maintaining, tracking, and updating such compendium.

1.

Short title

This Act may be cited as the Showing How Isolationism Effects Long-term Development Act or the SHIELD Act.

2.

Data localization compendium

(a)

In general

Not later than 2 years after the date of enactment of this Act, the Secretary of Commerce and the Federal Trade Commission shall jointly conduct a study on electronic commerce, including data sharing and data flow, and its impact on the United States economy.

(b)

Requirements for Study

In conducting the study, the Secretary and the Commission shall survey electronic commerce, including data sharing and data flow, through outreach to participating entities to—

(1)

review and determine the economic benefit of the free transfer of data;

(2)

review and determine the impact digital trade barriers (limited to non-tariff trade barriers) have on the United States economy and business development; and

(3)

review any data agreement to determine the benefits such agreements have on commerce.

(c)

Compendium

The Secretary and Commission shall establish a compendium of data localization regulations (such as regulations requiring that any data maintained about an individual be maintained where such individual resides and where such information was collected) and develop a means for maintaining, tracking, and updating such compendium. The Secretary and Commission shall update such compendium as appropriate, but not less than annually.

(d)

Report to Congress

The Secretary and the Commission shall transmit to the Committee on Energy and Commerce of the House of Representatives and the Committee on Commerce, Science, and Transportation of the Senate a report that contains—

(1)

the results of the study conducted under subsection (a); and

(2)

recommendations to develop any legislation to promote United States economic activity through electronic commerce, including data sharing and data flows, and any related consumer protection issues.