Good morning. Here’s your Daily Situational Awareness for Tuesday, 29 November 2022.
DUTCH TECH COMPANY SAYS NO TO BIDEN CHIP SANCTIONS ON CHINA: Dutch semiconductor technology company ASML said it would not participate in the Biden administration’s ban on selling chip-making technology to China. The Dutch government is siding with ASML. ASML manufactures high-end Deep Ultraviolet (DUV) lithography machines and has already sold over 200 to Chinese chip manufacturers. Dutch Trade Minister Liesje Schreinemacher said, “It is important that we defend our own interests – our national safety, but also our economic interests.”
CHINA INCREASES INTERNAL SECURITY OPERATIONS OVER PROTESTS: Chinese security forces began increased internal security measures Monday following a series of weekend protests in major urban areas across the country. Police began stopping and searching pedestrians in Shanghai and Beijing, although there were no signs of protests on Monday. Police are also searching mobile phones for signs of VPNs and western social media applications like Telegram, both of which are outlawed in China. Chinese stocks saw their worst day in a month on Monday as volatility rocked commodities markets over the anti-COVID unrest. Reuters reported today that Chinese authorities were already searching for participants in the weekend protests.
UKRAINE RESUMES BLACKOUTS AFTER CONTINUED RUSSIAN MISSILE STRIKES: Ukraine officials on Monday said they would impose regular blackouts across the country after Russian missile strikes continued to set back attempts to repair power grids and critical infrastructure. According to officials at DTEK, Ukraine’s biggest private electricity producer, power units at several power stations were forced to conduct emergency shutdowns resulting in a 60% reduction in electricity supply to the country. Once the causes of the shutdowns have been repaired, the units are expected to return to operation.
ECB PRESIDENT LAGARDE: EUROPE INFLATION YET TO PEAK: The head of the European Central Bank, Christine Lagarde, said Monday that she didn’t believe inflation in Europe has peaked. According to Lagarde, the European Central Bank (ECB) is set to continue raising interest rates in an effort to stave off inflation, currently sitting at 10.6%. Lagarde said the inflation target remains at 2% and that the ECB will use “all the tools we have” to reach that target in a timely manner.
In today’s Early Warning, the team gives an update on the rail strike threat for December. For this, plus the latest domestic and geopolitical reporting, you can get the full report by subscribing at https://forwardobserver.com/subscribe