ZeroFox Physical Security Intelligence Daily Brief - November 4, 2024

ZeroFox Physical Security Intelligence Daily Brief - November 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. Drone Maker Responds with Battery Rationing After China’s Sanction
• Armed Supporters of Former President Morales Seize Military Base in Cochabamba
• Parliament Elects New Speaker in Iraq, Ending Year Long Standoff

U.S. Drone Maker Responds with Battery Rationing After China’s Sanction

Skydio, the United State’s largest drone manufacturer, said it was facing a battery shortage after being sanctioned by China for selling drones to Taiwan. Skydio said it has some surplus batteries, but its manufacturing supply chain will be impacted for months while it sources non-Chinese-made batteries. The company, which provides drones to Ukraine’s military and Taiwan’s National Fire Agency, manufactures its products in the United States but sources batteries from China. As a result of the sanctions, which banned Chinese companies from doing business with Skydio from October 10, 2024, Skydio's customers will be limited to one battery per drone. The sanctions were reportedly China’s retaliatory measures against the U.S. government’s announcement that it would provide additional military assistance for Taiwan. The United States sanctioned one of Skydio's primary Chinese competitors a few days after the initial sanctions went into place in mid-October. The issue highlights broader concerns over supply chain vulnerabilities in the technology industry due to its dependence on China for key components and China's dominance of the battery industry. China could use this dominance to limit U.S. companies that rely on Chinese parts going forward.

Armed Supporters of Former President Morales Seize Military Base in Cochabamba

Armed supporters of former Bolivian President Evo Morales seized a military base near the central city of Cochabamba. Soldiers were briefly detained, and weapons were seized. The violent escalation comes less than a week after Morales claimed he was the victim of an assassination attempt and after over two weeks of roadblock protests by Morales supporters against an arrest warrant issued against Morales. Morales claims the arrest warrant is a ploy by his former ally President Luis Arce to prohibit him from running in the 2025 elections. Bolivian security forces are likely to crack down on those who participated in the raid and could use the incident to remove Morales supporters from major roads that are causing millions in supply chain losses daily.

Parliament Elects New Speaker in Iraq, Ending Year Long Standoff

Iraq’s parliament elected lawmaker Mahmoud al-Mashhadani as speaker, ending a yearlong standoff between Sunni factions over who would take up the position. The previous speaker, Mohammed al-Halbousi, was removed by Iraq’s supreme court last year over allegations of misconduct that many claim were politically motivated. Having a speaker in place will facilitate coordination among the fractious political blocs in parliament and potentially pave the way for greater stability within the legislative body, allowing it to better focus on governing.