ZeroFox Physical Security Intelligence Daily Brief - May 25, 2024

ZeroFox Physical Security Intelligence Daily Brief - May 25, 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

• Putin Signs Law Authorizing the Seizure of American Assets
• South Korea Unveils USD 19 Billion Support Package for Semiconductor Industry
• China Launches Two-Day Military Exercises Surrounding Taiwan

Putin Signs Law Authorizing the Seizure of American Assets

On May 23, Russian President Vladimir Putin signed a decree authorizing authorities to seize the Russia-based assets of American citizens and companies as compensation for Russian assets seized in the United States. The new law marks a tit-for-tat response to the American REPO Act, which allows the U.S. President to seize frozen Russian assets and transfer them to Ukraine. While an April 2023 law allowed President Putin to nationalize the Russia-based assets of companies based in "unfriendly" countries, this new measure specifically targets U.S. companies and expands the policy to apply to individuals. The Russian assets of any American company or individual now face a heightened risk of

South Korea Unveils USD 19 Billion Support Package for Semiconductor Industry

On May 23, the South Korean government announced a USD 19 billion package of government support for its domestic semiconductor industry. President Yoon Suk Yeol said the government-led initiative includes funding for research and development (R&D) as well as backing for small- to medium-sized enterprises (SMEs) to sell the chips. Furthermore, the government will implement various tax incentives. South Korea is a major technology exporter and a leading producer of semiconductor chips, although the most sophisticated forms come from Taiwan. South Korea is therefore a key player in efforts by the United States to limit Chinese production of less advanced chips. South Korea's economy is expected to grow 2.5 percent this year on stronger than expected exports, which are highly likely led by technology exports.

China Launches Two-Day Military Exercises Surrounding Taiwan

On May 23, China launched a two-day military drill that encircled Tawain and several nearby islands in what China calls an attempt to “test the joint real combat capabilities of the forces of the command.” The drills involved the army, navy, air force, and rocket force in the Taiwan Strait and north, south, and east of Taiwan, as well as in areas around Taiwan’s outlying islands of Kinmen, Matsu, Wuqiu, and Dongyin. The show of strength, code-named “Joint Sward-2024A,” came three days after Taiwan’s new president, Lai Ching-te, took office. China calls the drill a strong punishment for Lai’s “separatist acts” after he made several controversial comments during his inauguration speech.