ZeroFox Physical Security Intelligence Daily Brief - October 30, 2024

ZeroFox Physical Security Intelligence Daily Brief - October 30, 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., Ukrainian, and South Korean Officials Conduct Talks on Deployment of North Korean Troops
• Taiwan Prepares for Typhoon Kong-rey
• U.S. Blocks Outbound Investment in Chinese Semiconductor and AI Sectors Over National Security

U.S., Ukrainian, and South Korean Officials Conduct Talks on Deployment of North Korean Troops

Ukrainian President Volodymyr Zelensky and South Korean President Yoon Suk Yeol recently held a call to discuss the deployment of North Korean troops to Russia. During the call, both leaders agreed to send delegations to each other's countries to strengthen security and intelligence cooperation. U.S. and South Korean officials are also scheduled to meet in Washington DC this week to discuss the deployment of North Korean troops. The call came as North Korean Foreign Minister Choe Son Hui arrived in Russia for an official visit on October 29. Russian news agencies have reported Choe will hold talks with Russian officials, but did not detail with whom. Reportedly, a small number of North Korean troops have been geolocated within Ukrainian territory. While observers had expected Russia to use North Korean troops to repel Ukrainian forces from Russia's Kursk region, it remained unclear whether North Korean soldiers would cross into Ukrainian territory.

Taiwan Prepares for Typhoon Kong-rey

Taiwan’s authorities suspended ferry services to outlying islands in south-eastern Taiwan as Typhoon Kong-rey approached. Fishermen were advised to return to shore, and travelers were evacuated on October 29. Typhoon Kong-rey will bring rainfall up to 24 inches, potentially leading to flooding, mudslides in the mountainous terrain of Taitung, and travel delays. Damaging wind gusts can be as high as 160 mph across Taiwan, causing infrastructure damage, power outages, and logistical delays. This can likely cause supply chain disruptions across Asia as the sea lane between mainland China and Taiwan is crucial for energy deliveries to Asia as well as technological exports out of Asia. Also, Taiwanese firms are likely to limit operations during the storm.

U.S. Blocks Outbound Investment in Chinese Semiconductor and AI Sectors Over National Security

The U.S. Treasury Department issued a rule and set up a global team to restrict and oversee American investments in China in artificial intelligence (AI), computer chips, and quantum computing. Starting January 2, 2025, U.S. investments in China that could be used by China to develop advanced technologies in the military will face tighter scrutiny. The finalized rule stems from an executive order issued by the Biden Administration in August 2023, seeking to prohibit transaction engagements with mainland China, Hong Kong, and Macau involving a set of “technologies and products” that pose a national security risk. The investment ban would apply to direct or indirect investments such as using AI models to improve targeting intelligence or autonomous weapon systems through a Chinese parent company and developing an AI system designed exclusively or intended for a military venue. Restrictions also potentially put Chinese investors with U.S. residency or citizenship at risk. China protested the latest investment ban and may retaliate with countermeasures.