Just days after a crippling cyber hack on global meat producer JBS, President Joe Biden is preparing to discuss the matter directly with Russia’s President Vladimir Putin.
Biden is reviewing the threat posed by ransomware attacks and will discuss the issue of harboring such hackers with Putin this month.
The leaders will meet in Geneva on June 16, amid sharp disagreements over election interference and human rights.
This week, the hack of Brazilian meatpacker JBS in the United States, became the third such ransomware hack in the country since January.
JBS told the White House this week it originated from a criminal organization likely based in Russia.
The FBI is now investigating.
President Biden was asked about the hack at the end of his news conference.
What threat will this incident have on food security with operations being impacted?
The cyber attack on JBS comes as the latest threat to global food supply chains.
The attack focused on the Brazilian company’s computer networks, impacting the five biggest beef plants in the US, all up handling 22 thousand 500 cattle a day.
It shut JBS’ Australian and North American computer networks and sidelined two shifts. This further halted processing at one of Canada’s largest meatpacking plants, but that beef facility has since resumed production.
Australian Operations were also down, whereas operations in Mexico and the U.K. were not affected.
Australia’s federal government took action to minimise impact on supply chain, Federal Agriculture Minister David said the technology and “systems they [JBS] use, go to the heart of the quality assurance of the beef that they process.”
“So we need to make sure that we can get that up and going to give confidence, not just to consumers here in Australia, but also to our export markets,” he said on Tuesday.
Despite the impact, the company was able to ship product from nearly all of its facilities to its customers.
Tenable’s Vice President of Operational Technology Security, Marty Edwards, says companies part of the food supply chain are ‘fairly resilient”
Concerns after cyber attack on U.S pipeline impacted gas supply
JBS has 47 facilities across Australia and operates the largest network of production facilities and feedlots in the country.
Hackers have the commodities complex in their crosshairs, with the JBS attack coming just three weeks after Darkside targeted the biggest US gasoline pipeline.
The Colonial Pipeline experienced a cyberattack that shut down its nationwide network on 7 May. As such, millions of barrels of petrol, diesel and jet fuel stopped flowing.
The hackers are from Russia’s “DarkSide”, who allegedly steal from larger corporations and give the ransom funds to charity.
Fed’s Waller hints at July rate cut, boosting investor sentiment; Trump imposes 50% tariff on Brazil, provoking minimal market response.
Fed Governor Christopher Waller, tipped as a possible next Chair, signalled a July rate cut is on the table, calling current policy “too tight.” That’s been enough to supercharge investor sentiment.
Meanwhile, Trump has slapped a surprise 50% tariff on Brazil, sparking political tension. Brazil’s President responded with tough talk on “sovereignty,” but markets barely blinked, the Brazilian real dropped just 1%.
Trump’s 50% copper import tariff aims to strengthen U.S. manufacturing, impacting global supply chains and Chile significantly.
President Donald Trump has unveiled plans to impose a 50% tariff on copper imports, a move set to rattle global supply chains and redraw the industrial map.
The tariff will hit within weeks, with Chile, the world’s largest copper exporter, expected to bear the brunt.
While Australia’s direct copper trade with the US is limited, analysts say the real message is strategic: the US is reinforcing its domestic manufacturing power.
RBA surprises with decision to maintain interest rates at 3.85%, impacting economic forecasts and housing market activity.
In Short:
The Reserve Bank of Australia has kept its cash rate at 3.85% despite concerns from the Housing Industry Association about its impact on new home construction. Although inflation is within target and there’s some market confidence, households are under financial strain amidst economic uncertainties.
The Reserve Bank of Australia has decided to maintain the cash rate at 3.85% following a split vote of six to three. This unexpected decision comes as the Housing Industry Association warns that these rates remain restrictive, potentially hindering new home building.
Senior economist Tom Devitt stated that the rates will delay necessary building activity but noted improved market confidence following previous rate cuts.
Current inflation data shows the RBA’s preferred measure has been declining and remains within the target range. However, household spending is under strain, with Australia experiencing a per capita recession since mid-2022.
Labour costs
The RBA’s decision was influenced by concerns over productivity growth and high unit labour costs, affecting its inflation outlook. While some economists anticipated a rate cut, the RBA opted for caution due to economic uncertainties, both domestically and internationally.
The bank acknowledged gradual recovery in private demand and household incomes but highlighted ongoing challenges in passing cost increases to final prices.
Despite the hold on rates, price rises in essentials like petrol continue to impact Australian households. The RBA emphasized the need for ongoing assessment before making future rate changes, suggesting a careful approach in response to evolving economic conditions.