ZeroFox Physical Security Intelligence Daily Brief - May 4, 2024

ZeroFox Physical Security Intelligence Daily Brief - May 4, 2024

ZeroFox physical security experts collect, curate, and analyze information derived from open and proprietary sources for comprehensive context of the circumstances surrounding global events. Here is today’s daily roundup of major developments.

Brief Highlights

• U.S. Issues Hundreds of Sanctions Targeting Chinese Companies
• Austria's Raiffeisen Bank to Reduce Business in Russia
• North Korea Reportedly Targeting South Korean Diplomats in Terror Attacks

U.S. Issues Hundreds of Sanctions Targeting Chinese Companies

The United States has imposed hundreds of new sanctions targeting 20 Hong Kong and mainland Chinese companies for alleged funding of Russia’s military. Dozens of other businesses and personnel based in Russia, Turkey, and other countries were also sanctioned. The new sanctions follow stepped-up warnings from the U.S. about China’s economic engagement with Russia, which reportedly helps Russia continue its war against Ukraine. Many of the mainland Chinese companies on the sanction list, such as Juhang Aviation Technology Shenzhen and Wuhan Tongsheng Technology, were allegedly involved in shipping components used by the Russian military. Additionally, Tulun International Holding Limited of Hong Kong and CFU Shipping Company, based in Hong Kong, were accused of providing key military equipment, such as Global Navigation Satellite Systems (GNSS) boards, to Russia. The United States will likely continue to use sanctions to disrupt support for Russia’s military-industrial base and curtail Russia’s use of the international financial system to fund its war against Ukraine.

Austria's Raiffeisen Bank to Reduce Business in Russia

On May 2, the head of Austria's Raiffeisen Bank, Johan Strobl, announced Raiffeisen will comply with a European Central Bank order and significantly reduce its business in Russia beginning in Q3. Strobl explained Raiffeisen will no longer issue new loans ahead of its exit from the Russian market. Raiffeisen has been under pressure to leave Russia since 2022, as it remains one of the only large European banks that maintains operations in the country.

North Korea Reportedly Targeting South Korean Diplomats in Terror Attacks

South Korea's government has decided to raise the terrorism alert level for five diplomatic offices abroad, citing intelligence that North Korea may attempt to harm their officials. The five offices are South Korean embassies in Cambodia, Laos, and Vietnam and general consulates in the northeastern Chinese city of Shenyang and Vladivostok in Russia's Far East. The terrorism alert level has been raised by two notches from the lowest, attention, to the second-highest, alert, which indicates there is a high possibility of a terrorist attack. The foreign ministry says the decision is based on intelligence that North Korea is plotting to harm officials at those diplomatic offices.