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U.S. Troops on High Alert; Ukraine Calling for Calm from All Sides; Boris Johnson's Party Gate Drags Approval Rating; Coup Celebrated in Burkina Faso; Football Fans Stampede Killed Eight People. Aired 3-4a ET

Aired January 25, 2022 - 03:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

[03:00:00]

(COMMERCIAL BREAK)

ROSEMARY CHURCH, CNN ANCHOR (on camera): Hello, and welcome to our viewers joining us from all around the world. I'm Rosemary Church.

Just ahead here on CNN Newsroom, NATO and the U.S. put forces high alert as Russia's troop buildup on the border of Ukraine shows no sign of slowing down.

Plus, the party gate at Number 10 has swung open a lot apparently. Now we're learning about a birthday bash for Boris Johnson while the U.K. was in lockdown.

And, the great pet escape, why some people in Hong Kong are paying upwards of upwards of $22,000 to get their dogs and hamsters out of the city.

UNKNOWN: Live from CNN center, this is CNN Newsroom with Rosemary Church.

CHURCH: Good to have you with us. We begin this hour with diplomatic efforts and military moves as fear grow that Russia could be on the verge of invading Ukraine.

U.S. President Joe Biden says he and his European allies are on the same page after holding urgent talks with the group discussing, quote, "preparations" to impose massive consequences if Moscow takes military action.

The U.S. has also announced that as many as 8,500 American troops are now on heightened alert for possible deployment to Eastern Europe.

(BEGIN VIDEO CLIP) JOHN KIRBY, PENTAGON PRESS SECRETARY: In the event of NATO's

activation of the NRF or deteriorating security environment the United States would be in a position to rapidly deploy additional brigade combat teams, logistics, medical, aviation, intelligence, surveillance and reconnaissance, transportation, and additional capabilities into Europe.

(END VIDEO CLIP)

CHURCH (on camera): The Pentagon says Russia is showing no signs of de-escalating and is actually sending more forces to its western frontier. Meantime, NATO is bolstering its military presence in Eastern Europe. Sending fighter jets and ships to the region and placing troops on standby.

(BEGIN VIDEO CLIP)

JENS STOLTENBERG, NATO SECRETARY GENERAL: We are considering to further enhance our presence in the eastern part of the alliance. This could include the deployment of additional NATO battle groups. These deployments are proportionate and in line with our international commitments. And they reinforce European security for all of us.

(END VIDEO CLIP)

CHURCH (on camera): Russia has accused the west of hysteria in its response to its buildup near Ukraine's border, while Ukraine's leader is trying to calm nerves inside his country.

(BEGIN VIDEO CLIP)

VOLODYMYR ZELENSKY, PRESIDENT OF UKRAINE (through translator): The authorities are working for the full de-escalation of the situation and are moving toward a peaceful settlement. We know everything, we are ready for everything, we believe in the best. We do everything for it.

(END VIDEO CLIP)

CHURCH: So, let's head straight to Moscow where CNN's Nic Robertson is standing by. Good to see you, Nic. So, Russia is showing no signs of de-escalating here. The U.S. now has 8,500 U.S. troops on high alert for possible deployment for Eastern Europe. A lot of concern about where all of this is going. What more are you learning?

NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, it's really a case of the next steps of the diplomatic steps. NATO is talking about increasing its deterrence. The Kremlin is saying that words being sort of, whipped up from NATO is false information. It's, you know, hysterical information, if you will. They are also saying that the tensions in Ukraine are being created at the moment by the Ukrainian government putting pressure and building up forces around the separatist area in the east of the country the Donbas area.

But it does seem at the moment, if -- as if the Kremlin can watch the situation. Yes, it has its military buildup on the eastern border of Ukraine. Yes, it's going through preparing for military exercises, large scale military exercises to the north of Ukraine in Belarus. It also has in the Baltic Sea a military, a naval exercise underway. You know, sort of looking for submarines, searching for mines, training on, you know, anti-aircraft drills for 20 -- 20 naval vessels there.

[03:05:02]

So, Russia is on this, you know, footing that is putting pressure on the area. But it does, to a degree, bring a response that is now creating a little bit of tension between the United States and NATO and the Ukrainian government. And as much as Ukrainian government appealing for calm amongst these people. Disappointed that some diplomatic missions the U.S., the U.K., Australia are drawing down nonessential stuff.

It is the sort of tensions that Russia has the potential to exploit at the moment without taking military action. It says it's not intending to take military action. And we got a flavor of that last night from the foreign ministry spokeswoman. Saying, on the one hand you have, you know, representatives of the Ukrainian government saying, we don't see any reason to say there's about to be a full-scale invasion.

And you have, and she quoted as well the Pentagon spokesman saying, "we don't see any de-escalation from Russia." And use this as a pretext to say, that the United States was trying to undermine the morale in Ukraine. So, there is a definite effort and ability from the Kremlin to exploit the gaps and the tensions that exist because all of this build up, all of this talk of deterrence and additional forces and Russian military buildup is building a certain tension and a dynamic and a momentum.

And at the moment, Russia is in a position of waiting for those written responses from the United States and NATO, at time at the moment, it appears to be in their hand.

CHURCH: Indeed. Nic Robertson joining us live from Moscow. Many thanks.

Joining me now is Michael Bociurkiw, a global affairs analyst and a former spokesperson for the Organization for Security and Cooperation in Europe. Thank you so much for being with us.

MICHAEL BOCIURKIW, GLOBAL AFFAIRS ANALYST: Good to be with you, Rosemary.

CHURCH: So, last week, President Biden was threatening Russia with unprecedented economic sanctions if it invades Ukraine. Now, 8,500 U.S. troops are on alert to be deployed in eastern Europe. What's suddenly changed? And what would Vladimir Putin likely or how would he likely view this do you think?

BOCIURKIW: Well, clearly, President Biden has been, I think really scared by the reaction of what he said so he felt that he had to, caps, put his pivot to Asia Pacific on hold and focused more on what's going on in Europe. A lot of division in Europe right now. Macron just saying he is going have talks with Putin and Zelensky and kind of go at it alone.

But I think Putin may view this buildup of troops with interest. But I don't think he would be very deterred by it. You know, if the U.S. really wanted to make a big difference right now, what is really needed is air support for the Ukrainians. That's where they are at the weakest.

And I'm talking about AWACS planes that can really deal with their blind spot in terms of providing them with clear intelligence. It's something that they have been begging for, for a long, long time.

The other thing I should say, Nic Robertson alluded to this is that, there is very interesting and very concerning developments going on in the occupied territories in the Donbas with the Russian-backed rebels or Donetsk (Ph), whatever you would want to call them, claiming on Russian state television this morning that they are preparing to be attacked.

So, what they are doing is that they're prepositioning war weaponry and multi rocket launch systems type. That sort of thing. And I think that's kind of where the action is going to be. Putin may decide that he needs to defend them, defend people, he's given Russian passports to and move into that area.

CHURCH: You mentioned the lack of unity and all of the divisions in Europe, of course, they're bending over backwards to prove the opposite. President Biden meeting with European allies via video link Monday, all agreeing that they were united and that any further aggression by Russia against Ukraine will have severe cost.

So, will this show of unity or this apparent show of unity, you don't think there is any of that, along with economic sanctions, weapon support to Ukraine, troops on alert on standby in Eastern Europe, will that be sufficient to deter Russia's president from invading? You mentioned the air support. That's not going to happen at this juncture certainly.

BOCIURKIW: No, it isn't going to happen. I think any illusion that we had of the European (Inaudible) was crumbled during the pandemic. I wrote a whole book about diplomacy and the pandemic, you know, and you know, if the Europeans couldn't get their act together during a life- threatening incident like a pandemic, I don't think they're going to get their act together on this.

And look, you have a real economic interest at play now. France, for example, wanting its dairy products back on Russia's store shelves. The Germans wanting Russian gas through that Nord Stream Pipeline. So, a lot of conflicting different interests here at work.

[03:10:01]

And as for the Ukrainians, I feel they, in many ways, have felt they've been thrown under the bus. And I think they're aligning more closely, for example, with Poland, the Baltic states. So, you could see that block acting more unilaterally as time goes on. CHURCH: Yes, Ukraine not happy with the U.S. and the U.K. pulling out

non-essential embassy personnel. I want to just refer to the New York Times op-ed written by former top Russian expert with the National Security Council Fiona Hill, she wrote this. Right now, all signs indicates that Mr. Putin will lock the U.S. into an endless tactical game, take more chunks out of Ukraine and exploit all the frictions and fractures in NATO and the European Union. She also said, this needs to go to the U.N.

Is that what needs to happen? And what would be the consequences if that were the case?

BOCIURKIW: I agree with everything Fiona Hill said except that it needs to go to the U.N. Of course, it should go to the U.N. Security Council. But we know what's going to happen there. China and Russia will beat all odds stuff there. So, no, I think that what really needs to happen is for the, you know, international committee to really get its act together.

And look, Ukraine is under high-risk attack right now as we speak over the past few days. False bomb threats have been called into Ukrainian schools, to subway stations. And also, there was a big cyber-attack last week.

The one area where it would be very, very painful for Putin and his inner circle is countries like the United Kingdom suddenly banned Russian oligarchs from buying and owning property, sports teams, freezing their bank accounts. I think then the oligarchs will go back to Putin and say this is intolerable, something has to be done, back off.

But, I can't -- I can't say the west is in a very strong position right now. And Ukrainians have good reason to be fearful and concerned.

CHURCH: Yes, we are watching all the twists and turns of this as tensions rise. Michael Bociurkiw, thank you so much for your perspective. I appreciate it.

BOCIURKIW: My pleasure.

CHURCH: South Korea's military reports North Korea fired two cruise missiles Tuesday morning. Intelligence authorities in the U.S. and Seoul are analyzing the launch. This would be North Korea's fifth missile test of the year.

State media says Pyongyang is bolstering its defense against the U.S. The North is barred by international law from developing ballistic missiles and nuclear weapons.

Well, Taiwan says that China sent 13 warplanes into the island's air defense zone on Monday including fighter jets and two new capable bombers. The day before, nearly 40 Chinese warplanes flew by the same zone.

The incursions come after the U.S. and Japanese navy put on a short force in the Philippine Sea on Saturday. The U.S. says it was a training exercise to preserve and protect security in the region.

The U.S. military help the United Arab Emirates counter a missile attack launch by Houthi militants in Yemen on Monday, the attack was the second in a week aimed at the UAE. The Houthis say they were targeting Dubai and Abu Dhabi including a military base where the wing of the U.S. Air Force is stationed.

The UAE says it has destroyed the missile launcher used in the attack but it marks a significant escalation and a years' long battle between the Houthis and the Saudi led coalition that includes the UAE.

Well, the British public's trust in Prime Minister Boris Johnson is plummeting. A new poll shows 70 percent of those surveyed say his government is not honest, up five points from a month ago. Now this comes as new allegations emerged of even more parties at 10 Downing Street while the country was under its first big COVID lockdown.

This time, they were for the prime minister's birthday in June of 2020, and the festivities were reportedly held indoors in violation of COVID restrictions. A report into the accusations due this week could be the final straw for the prime minister.

So, let's cross to London now and CNN's Scott McLean. Good to see you, Scott. So, the big question everyone wants answered is can Boris Johnson survive this mounting pressure to step down? What's being said about that?

SCOTT MCLEAN, CNN INTERNATIONAL CORRESPONDENT: Hi, Rosemary. You know, the irony here is that all of the political leaders in the world, and certainly Westminster as well, Boris Johnson ought to know better than most just how dangerous the coronavirus can be. It almost took his life in April of 2020. Now, he's fighting for his political life.

Because of these accusations reported by ITV, it certainly does not help. These ones say that there were two gatherings held on his birthday back in June of 2020 at a time when indoor gatherings were banned and outdoor gatherings were limited to just six people.

[03:14:58]

The first it was held in the cabinet office where there was the singing of happy birthday. And the second was a gathering amongst his family in his Downing Street apartment. Now Downing Street acknowledges that these events took place. But they say that no COVID rules were violated.

In the case of the cabinet office meeting, they said that it was a group of colleagues who gathered after a worked meeting to wish the prime minister well and happy birthday. And that he was there for less than 10 minutes. In the case of the later gathering, they say that that one was actually held outdoors and not indoors.

Now, this morning the transportation secretary was on TV and he was trying to downplay all of this, saying, look it's not as if Boris Johnson presented himself with a birthday cake. In any event, the people that would've been there would've been people that he was in the room for work purposes anyways.

And that defense is pretty familiar. Because you remember the last accusation here of a garden party that was held in May of 2020 where the prime minister insisted that he was not aware that that was a party. That he thought that it was a work event even though on the invitation that was sent out it said, bring your own booze.

In this case, does singing happy birthday turn a work event into a social gathering? Maybe. Maybe not. But for context, it's important to keep in mind that the performing arts, we are not allowed to perform at that time until August. Months later because singing, of course, has a higher risk of transmitting the virus.

Now as you said, there is an investigation into all of this expected to be released later this week. But yesterday before the story even broke, the prime minister was asked whether there would be any more damaging information come out in advance. Listen.

(BEGIN VIDEO CLIP)

UNKNOWN: This is a big week for you. (Inaudible) reporter. Can you guarantee that no more embarrassing allegations about alleged breaches of lockdown within Downing Street will come out before that report is published?

BORIS JOHNSON, BRITISH PRIME MINISTER: What I can guarantee is that this government is focused 100 percent on dealing with the big problems that we have.

(END VIDEO CLIP)

MCLEAN (on camera): So, obviously, dodging the question there. But certainly, he owes an explanation to his colleagues at the very least. And that is where the biggest threat to Boris Johnson is coming from right now, within his own party and whether or not enough M.P.s can get together to force a confidence vote on his leadership. But even still, Rosemary, the next election is not for a couple of more years, but if it were to be held today, Boris Johnson would very likely not win.

CHURCH: Yes, those numbers not good for him. Scott McLean joining us live from London. Many thanks.

And I want to bring in CNN European affairs commentator Dominic Thomas. He joins us live from Los Angeles. Thanks for joining us.

DOMINIC THOMAS, CNN EUROPEAN AFFAIRS COMMENTATOR: A pleasure, Rosemary.

CHURCH: So, Dominic, in the midst of the country's first COVID lockdown in 2020, the prime minister attended two birthday parties but Downing Street demies that any rules were breached. How likely is it that the people will buy that after a series of alleged parties when other Brits weren't allowed to gather? Many suffering as a consequence. How does Johnson survive this? THOMAS: Yes. Well, it's hard to see exactly but the way out of this

is going to be. I think that, you know, one thing to bear in mind is that he is not up for general election. He, essentially serves at the pleasure of conservative party M.P.s. It is up to them to decide whether or not to remove him or whether or not to try to remove him by having a vote of no confidence.

And I think that they have to balance that out, bearing in mind that if he was replaced it would be the fourth conservative party M.P. in just over a decade. That the British people are tired of all the elections after Brexit and watching the meaningful votes and general elections and so on.

And the big question would be, who ultimately would replace him, and given that the next general election is not until 2024, whether this replacement would in fact be able to unify the party, mitigate the damage that has been done by Boris Johnson, and also, ultimately lead them all the way through to that next general election and obtain the kind of majority that Boris Johnson was able to obtain.

And the other aspect of this, I suppose, of course is that somehow paradoxically four conservative party M.P.s, if the pressure from their own constituents is not so great, you could also argue that a week or Boris Johnson makes it a little easier for them to convince him of their legislative agenda as a condition for him to remain in power. But it's all going to depend ultimately on the ways in which the Gray report plays out in the public square.

CHURCH: Yes, and as you, mentioned those findings will be made public if that official investigation in just a few days. But, it's not an independent inquiry. So, what all is achieved exactly and expected to be revealed from this report? And how likely will it be?

(CROSSTALK)

[03:19:58]

THOMAS: Well, I think that the -- right, and I think that ultimately what they do produces just simply, you know, findings and the kind of advisory and capacity. I think that the challenge that the Gray inquiry has before them is that it is somewhat unusual situation to the extent that this is already played out in the public square.

Nobody in Britain believes that these parties were legitimate. And they all understand that there were many of them and that the likelihood is that if there's smoke, there's fire, that there were many others. So as the British people were observing either the social gathering rules or were violating the rules and being punished for violating those rules, the prime minister and his cabinet and his entourage were not respecting those.

So, the big question with the Gray report is the extent to which it either provides an opportunity for those that want Boris Johnson removed to write the letters calling for a vote of no confidence with the hope that that plays out. All that the Gray report in fact does come up with findings that essentially lead M.P.s cornered, vis-a-vis, their constituents, and forces them ultimately down the road of removing Boris Johnson.

If it falls short of that, and I think you can see right now that Boris Johnson kind of cabinet apparatus sort of playing this out is waiting to survive another day to see how this ultimately ends up playing out over the next few days. And so, there's a lot of unexpected still on the horizon here.

CHURCH: And if Boris Johnson is removed, I mean who is his likely successor?

THOMAS: Yes. Well, I think it's interesting because there's just been so much discussion about sort of, you know, the obvious people. The sort of the leading people in his cabinet today that have, you, know, various approaches agendas as the argument to whether one of the representatives would help sort of really finish off the Brexit plan. Whether others would be more open to the sort of the broader backbench desires.

And so, individuals like the foreign secretary Liz Truss, the chancellor of exchequer, and so on emerge as kind of obvious figures. But I'm not even sure if there is anybody around right now that ultimately is that eager to take over in the way that Boris Johnson was, for example, from Teresa May and to ultimately push over the line the kind of the Brexit deal.

And I think that that's the sort of the irony of it all at this particular moment is, you know, the fact that this system is so unusual, the fact that it plays out with two more years to go before the general election.

And the fact that the Boris Johnson cabinet is essentially surrounded by a particular group of individuals who are also eager to hold on power and who may not find positions for themselves in the subsequent cabinet. So, that as much as the opposition in the U.K. is currently divided, there are many factors within the conservative party itself.

And there is some degree of uncertainty as to what the post-Johnson leadership profile would ultimately look like.

CHURCH: Yes. And those leaks meantime keep coming, don't they?

THOMAS: Yes.

CHURCH: Dominic Thomas joining us live from Los Angeles. Many thanks.

THOMAS: Thank you.

CHURCH: Burkina Faso's army detains the president and overthrows the government. But many actually welcome the coup. Why people filled the streets to celebrate just ahead.

And an investigation is underway into a stampede at the stadium in Cameroon's capital at a championship football match.

[03:25:00]

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CHURCH (on camera): Burkina Faso's army says it has dissolved the country's government and ousted the president in a military coup. The move comes a day after the headquarters of former President Roch Kabore's political party was ransacked by protesters demanding his resignation.

Soldiers say they believe the country is safer in the hands of the military right now. Army leaders tells CNN the former president is safe and being held in an undisclosed location. He hasn't been seen since Sunday.

Well, CNN's Stephanie Busari joins me now from Lagos, Nigeria with more. Good to see you, Stephanie. So, it isn't often that we report on a country welcoming a military coup. What is the back story to this and of course the latest?

STEPHANIE BUSARI, CNN AFRICA SUPERVISING EDITOR: Sure. Good morning, Rosemary. Yes, the people of Burkina Faso are waking up in a new military era that many have welcomed because President Roch Kabore did have many warnings to his waning popularity. People just said that they didn't feel safe because of Jihadist uncertainty which is linked to Al-Qaeda and Islamic states.

And even the soldiers who have taken over have said themselves that he just felt in his responsibility to keep the people safe. And they were often bearing the brunt of this Jihadist attacks. And that security personnel were just not given the care and resources they needed to fight this insurgency.

So, it remains to be seen how effective -- effective their fight will be against this insurgency that has played this region of the Sahel for decades. So, we don't know much about the whereabouts of President Kabore. But on two tweets that were sent off from his account yesterday. But now the reality that people are facing the reality of this new military era.

As you would expect, there's been condemnation from around the region, and also from the United States who said yesterday in a statement that there were very concerned about these developments in Burkina Faso.

And we can expect sanctions from the regional economic bloc ECOWAS for Burkina Faso as they have done for other countries in a region who have stage military take overs. Now, this area is also known as Africa's coup belt. This is the fourth military takeover in this phase of one year. And it's all linked to this Jihadist insurgency. Rosemary?

CHURCH: All right. Let's watch to see what happens there. Stephanie Busari joining us live from Lagos in Nigeria. Many thanks.

Well at least eight people have been killed during a stampede at an Africa Cup of Nations match in Cameroon. State media reports the crush happened as fans tried to get into the stadium in Yaounde to watch a match between Cameroon and Comoros. At least 50 people were hurt. The confederation of African Football which organizes the Cup of Nations is investigating. And the confederation general secretary is planning to visit the victims.

CNN sports contributor, Usher Komugisha joins us now from Doala in Cameroon with the very latest. Good to see you, Usher. So, what more are you learning about the circumstances leading up to this deadly stampede?

USHER KOMUGISHA, CNN SPORTS CONTRIBUTOR: Well, it's very sad, you know, what has happened at the Africa Cup of Nations because so many of us who were inside the stadium did not have an idea on what happened outside of the stadium. But there has been a stampede and every time that Cameroon plays the fans, you know, want to watch the indomitable lions.

And this is really going to be the last game, maybe until the final if Cameroon make it that the team was playing in Yaounde because the quarter final game against the Gambia will be played in Douala. So, you know the Yaounde citizens were very excited to be at the stadium. And, you know, the thousands of them that were outside literally force their way into the stadium and that's how the stampede happened.

CHURCH: We are looking at pictures of that stadium which is clearly massive. It is just extraordinary to have a situation like this as people are going in.

[03:30:00]

And the Confederation of African Football is investigating this stampede, but it also is the organizer of this. So will they ultimately be held responsible?

USHER KOMUGISHA, CNN SPORT CONTRIBUTOR (on camera): So, the Confederation of African Football obviously is working with the local organizing committee which would be Cameroon and also the government who, you know, provide the stewards and the security around the Olympic Stadium.

And when you look at the efforts that have been put towards making sure everything goes on well, you can see that there's been incredible effort. In fact inside the stadium, there was, you know, so many stewards just to make sure that fans don't run unto the pitch just to repeat what happened in the game between Ivory Coast and Algeria in Douala and they succeeded on that. But unfortunately, there was a different story on the outside of the stadium.

CHURCH: Yes, it is just so tragic. Usher Komugisha, thank you so much for joining us. I appreciate it.

Well, the West is threatening sanctions, if Russia invades Ukraine. Coming up, a look at the risk for Russia's trading partners if more sanctions are imposed. Back in just a moment.

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CHURCH: Our top story, the (inaudible) standoff over Ukraine ramping up with the U.S. and its NATO allies, stepping up readiness in Eastern Europe amid fears of a Russian invasion. U.S. President, Joe Biden, talking with European leaders on Monday to discuss the growing crisis saying everyone is on the same page.

The U.S. has also placed thousands of troops on high alert for possible deployment. And NATO says it is sending more military equipment into Eastern Europe and putting forces on standby. That is despite White House and NATO officials saying there is no plan to deploy troops into Ukraine.

Meanwhile, the Pentagon says, Russia's buildup near the border is showing no signs of slowing down with more than 100,000 troops in the region and growing.

Well, aside from military preparation, the West is considering a new wave of economic sanctions if Russia invades. But there are repercussions for Russia's trading partners.

And for more on that, we want to turn to Anna Stewart, who joins us live from London. Good to see you Ana. So what would be those repercussions, those consequences of the severe economic sanctions that would be placed on Russia?

ANNA STEWART, CNN PRODUCER (on camera): Well there are a host of options frankly that could be on the table. And the potential of these sanctions on the board of repercussions they could have the markets as well what's really weighing particularly on stocks and oil and gas prices this week.

[03:35:08]

Yesterday, one analyst told me that the fact that the U.K. and the U.S. announced that some stocks were withdrawing from embassies in Ukraine with that tipping point for the big standoff that we saw yesterday. Now there are host of options but each one, Rosemary, comes with a risk.

(BEGIN VIDEOTAPE)

STEWART (voice over): Away from the border with Ukraine a different battle strategy is being drawn up. As Western allies consider how to respond to a potential Russian incursion with economic weapons.

URSULA VON DER LEYEN, EUROPEAN COMMISION PRESIDENT: The European Union is by far Russia's biggest trading partner, and by far the largest investor. And yes, this trading relationship is important to us. But it is far more important to Russia.

STEWART: In 2020, the E.U. accounted for over a third of Russia's total trade. It is their biggest market for oil and gas and their biggest foreign investor with investments worth $350 billion in 2019. Some sanctions are already in place. Imposed in 2014, the Russia's illegal annexation of Crimea and more were added as relations with Russia continue to sour.

TIM ASH, SENIOR EM STRATEGIST, BLUEBAY ASSET MANAGEMENT: The sanctions do have an impact. I mean, a lot of people brush them away as being ineffective. Russia spent a lot of money since 2014 lobbying against them suggest they don't like them. More restrictions on sovereign debts, Russia's ability to borrow overseas, I mean there's still a whole host of things they can do.

STEWART: The Kremlin has repeatedly denied they plan to attack Ukraine, But Western allies remain wary. Europe faces a problem though, energy. The E.U. relies on Russia for more than 40 percent of its natural gas imports and 25 percent of oil.

ADAM THOMSON, DIRECTOR, EUROPEAN LEADERSHIP NETWORK: Some allies, and I guess they go often points to Germany are very committed to an approach of dialogue and diplomacy. And through Germany, a lot of the rest of Western Europe get Russian energy supplies, which if cut off totally, would lead us with a very cold winter indeed.

STEWART: Which is why, other more extreme options on Europe's table could backfire. Germany could refuse to give a final approval to Russia's new $9.5 billion dollar Nord Stream 2 gas pipeline.

UNKNOWN: We are at the heart of the global financial system.

STEWART: All the worst can cut Russia off from the global payments system SWIFT used by banks.

ASH: Russia has made it clear that it would see a cut off from SWIFT. I mean, I think scoff the Kremlin press secretary said that it would be a declaration of war. Nothing in that scenario Russia could well suspend energy deliveries to Europe.

STEWART: Western allies and the E.U. in particular have powerful economic weapons to hand. But wielding them comes with risk. It will be hard for the West to agree on sanctions. But if Russia invades Ukraine, they'll need to stand united.

(END VIDEOTAPE)

STEWART (on camera): As you mentioned, President Biden did hold a video call with European leaders yesterday. And the readout says, they are preparing measures that would have, quote, "massive consequences and severe economic cost to Russia."

Sanctions are being drawn up. And as you can see there, there's a whole menu to choose from. But it's unlikely any of those options will get universal approval. You can expect those talks behind closed door to be very tense over there to be at a certain degree of division. No matter what you hear publicly about unity.

There is of course still some hope, Rosemary, that there will be de- escalation, that diplomacy will work and that none of these sanctions that are being drawn up will actually need to be use.

CHURCH: Yes, let's hope. Anna Stewart, joining us live from London, many thanks for that report.

And coming up, more COVID cases are being linked to the upcoming Beijing Winter Olympics, putting China's zero COVID policy to the test.

Plus, jets for pets. Why COVID fears and the government's harsh containment methods are leading to an exodus of pets from Hong Kong. We'll explain.

(COMMERCIAL BREAK)

[03:40:00]

CHURCH: Let's get you up to date now on the COVID headlines from around the world. The World Health Organization is warning that it's dangerous to assume the Omicron variant heralds the end of the COVID- 19 pandemic. And it's asking nations to stay vigilant.

In Asia, South Korea reported a record high number of daily COVID cases Monday. The same date the government said Omicron has become the dominant variant in the country. And Hong Kong has extended the lockdown of a housing block, the center of an outbreak there.

With the Beijing Winter Olympics and the lunar new year coming up next week, China is scrambling to contain growing COVID outbreaks. And in the coming hours, the International Olympics Committee president is expected to attend events in Beijing within the closed loop system.

And CNN's Kristie Lu Stout joins me now live from Hong Kong. Good to see you Kristie. So, what is the latest on the outbreak inside and outside of that Olympic closed-loop system?

KRISTIE LU STOUT, CNN CORRESPONDENT: Rosemary, listen, two weeks before the start of the Beijing Winter Olympic games, a number of COVID-19 cases is rising, both inside and outside the closed loop system, or the bubble, in Beijing.

Earlier today, we heard from the Beijing Olympics Committee. They confirmed 15 new cases of COVID 19 of those new cases, 12 were detected at the border before they entered the bubble. We also heard earlier today from Beijing local health authorities, they announced five new locally transmitted cases of the virus. These were only a handful of cases.

But again, when you're dealing with Zero COVID China, at the time of the Olympic games, a number of strict measures are in place. Mass testing is underway for 2 million residence. In the district of Beijing called Fengtai, snap lockdowns are underway as well. In fact, a number of buildings in that district have been sealed off (inaudible) in some 13 buildings not allowed to leave for 21 days.

And there is this additional but peculiar directive that Beijing announced, announcing and ordering all residents who have purchased cold fever or flu medicine in the last two weeks to submit themselves to a mandatory COVID-19 test. Presumably the concern here is that they won't want anyone masking any symptoms of COVID-19.

If people do not comply with this order, they will be punished. That means that they would not be allowed to travel, they will not be able to go to public places or go to restaurants using the Beijing city help app. As you can imagine, a lot of angry reaction on Chinese social media. My colleague in Beijing, Marth Joe, she assembled a couple of these reaction from Sina Weibo. Let's bring up one of them, and this (inaudible) write this, quote, "I

haven't been out for several months but I bought Chinese medicine online. And now my health app is not working."

Again, you have to have this health app in order to access public services in order to go to places like supermarkets or restaurants in Beijing. Let's bring up another one, this from another angry medicine response to these new measures, saying this on Sina Weibo, quote, "I bought medicine 15 days ago. Now my health app is not working. My flight is tomorrow. I can't go anywhere," unquote.

This test order, again, over cold and flu medicine, it just goes to show the level of control, the level of surveillance in China at this time of a pandemic. Rosemary.

CHURCH: Kristie Lu Stout joining us live from Hong Kong. Many thanks.

Alan Abrahamson is a columnist for "3 Wire Sports" and an associate professor at the USC journalism school. And he joins me now from Los Angeles. Good to have you with us.

ALAN ABRAHAMSON, COLUMNIST, 3 WIRE SPORTS (on camera): Thanks.

[03:45:00]

CHURCH: So we are more than a week away from the Beijing Winter Olympics getting underway. You are flying there Saturday to cover the games. What can athletes expect to deal with each day? And how much of an impact would you expect COVID restrictions to have on their physical and mental performance, if any?

ABRAHAMSON: Well, I think the most important thing to say about anything right now is that the two or three weeks before games are marked by an almost hysterical level of reporting that I'd like to call fad, fear, uncertainty, and doubt. What happens in 2004, the first games, after 9-11, when I was in the "L.A. Times," we all went through gas mask training before (inaudible), Zika. Now, it's COVID, just as six months ago in Tokyo, where if we will recall the athletes on the track and in the full set world records. So I would expect, Rosemary, the same here in Beijing. For real.

CHURCH: That's good, so they'll just really take it in stride. As any good athlete would, right? So, with the incredibly strict COVID measures in place, do you think China has been able to eliminate concerns that the Winter Olympics could become a superspreader event? And what is at stake for the country if authorities do fail to keep all athletes safe from infections?

ABRAHAMSON: Look. There is no way that the Olympic games will be a superspreader event. And for those who think, oh , Alan, you're being crazy, that there's messing their way. The scientific evidence is irrefutable that the Tokyo Olympics were not repeat not a superspreader event. There is not any case from inside the Olympic bubble to the Tokyo population.

The Chinese are going to be even more diligent. So you can't go down from zero. I mean, that is a fact. So, if somebody is going to get sick at the Winter Olympics? Yes. If somebody likely to get hurt at the Winter Olympics? Yes. ice and snow are slippery. Those are also facts.

CHURCH: So, let's talk about those three separate close loop bubbles that China has set up for skiing, snowboarding and then the third one for skating and curling. How will they work exactly?

ABRAHAMSON: Well, the first thing that people don't understand is that their long way from each other. The skiing venue is 45 miles from central Beijing. The snowboarding venue is 120 miles from central Beijing.

So, let's say I want to go cover snowboarding one day. I have to get on the high speed train and there are sections of the train that are literally cocooned off from the rest of the train that are in the bubble. And then you zip up there and then you're back in the bubble again. It's all very precise.

But, but we have really are three separate Olympics. You have a skating and curling Olympics. You have a skiing Olympics. And you have a skating and curling Olympics. And that is how it's going to be.

CHURCH: So, you as a journalist covering, you are going from the skiing to the snowboarding to the skating and curling. Will you be able to do that? You'll be allowed to enter each bubble exit and go to another bubble?

ABRAHAMSON: Yes, in Olympic (inaudible) it's called clean to clean. That's a little bit of Olympic jargon for you. Clean to clean. But yes, you could do all those things assuming you operate on those (inaudible) which is one of the charms of the Olympics.

(LAUGHTER)

CHURCH: Of course, and what impact if any will the U.S. led diplomatic boycott likely have on these Winter Olympics you think?

ABRAHAMSON: Here's a prediction, it will have zero impact. It will be meaningless. Who can remember anything and I mean anything about the actions of the United States, the Obama administration took to try to come back the so-called anti-gay laws in Russia at the Sochi 2014 games. Same thing here. Big picture. 2008 games were about China telling the world it had arrived. Remember, the 2008 drums? At exactly 8:08 pm on August, 8, 2008. I sure do, because I was in the stadium and it was incredible.

That was China telling the world it had arrived. Asking for approval. These 2022 games are about China saying we'd like your approval but, hey, we don't need it. Very big difference.

CHURCH: Interesting, Alan Abrahamson, thank you so much for talking with us. And have a great trip on Saturday.

ABRAHAMSON: Thanks, thanks for having me on. Always a pleasure. CHURCH: Hong Kong pet owners are worried after more than 2,500 small

animals were culled over COVID transmission fears. And a growing number of them are going the extra mile to ensure their pet safety.

CNN's Ivan Watson has our report.

(BEGIN VIDEOTAPE)

IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice over): Pets on private jets. This may sound like a ridiculous luxury. But charter flights for pets are a blooming COVID pandemic business in Hong Kong. An international financial hub that is increasingly cut itself off from the outside world. While trying to keep COVID cases here at zero.

[03:50:11]

OLGA RADLYNSKA, DIRECTOR, TOP STARS AIR: We have been overwhelmed with the amount of request to fly pets out, out of Hong Kong.

WATSON: Why do you think the demand is going up now?

RADLYNSKA: Because a lot of people are leaving. And a lot of people need to move their pets.

WATSON: Charter jet operators say, due to government travel restrictions and temporary bans on dozens of airlines, there are almost no commercial flights available to transport pets. The most reliable alternative, private planes, costing around $22,000 for a person and their dog to fly direct from Hong Kong to New York.

RADLYNSKA: People love their fur babies. So we are here to help them.

WATSON: The pressure on some pet owners mounted this month when Hong Kong authorities made a startling announcement.

The city's top officials blamed an outbreak of the COVID delta variant on hamsters.

This isn't a joke, the Hong Kong government claims that hamsters imported from the Netherlands gave COVID to a pet shop worker at this store. And they have since, ordered the closure of every pet shop in the city that sold small animals. They also called, killed more than 2,500 hamsters, white rats, rabbit, chinchillas and guinea pigs.

The authorities also told residence who bought hamsters on or after December 22nd to hand them over to be euthanize. Prompting scenes like this.

Where animal rights activists try to intercept pet hamsters before their hand over to officials.

UNKNOWN: Pet owners should not be worried about catching COVID from their animals.

WATSON: Researcher and veterinarian, Vanessa Barrs says the Hong Kong government overreacted.

VANESSA BARRS, RESEARCHER AND VETERINARIAN: We know that so far in the pandemic, there have been over 350 million cases of COVID reported in humans. And of those 350 million cases, that have been reported, there have been no confirmed cases of transmission of COVID from people's pets back to humans.

WATSON: After months, with almost no infections, the walls of Hong Kong's COVID fortress seem to be crumbling. In just 48 hours, more than 200 people tested positive for COVID at this Hong Kong housing estate, and this outbreak isn't being related to hamsters. But animal rights activists says some pet owners are still spooked.

KIM MCCOY, FOUNDER, HONG KONG ANIMAL LAW AND PROTECTION ORG: The concern really is, if it starts to hamsters, where does it go next? What we see companion animals such as cats and dogs being grouped into this. And that is a really real fare that people have.

WATSON: Olga Radlynska says, she has gotten a surge of inquiries from pet owners looking for seats on private planes in just the last week.

What is the alternative? If you are a pet owner and you want to leave the city.

RADLYNSKA: Give your pet up for adoption. A lot of people, they tried to find new homes for their -- fur babies and it's devastating.

WATSON: Ivan Watson, CNN, Hong Kong.

(END VIDEOTAPE)

CHURCH: And still to come, experts say, the recent volcanic eruption near Tonga was stronger than an atomic bomb. The latest on the destructive explosion when we return.

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[03:55:00]

CHURCH: We are learning more about the volcanic eruption near Tonga that triggered a tsunami and sent plumes of ash. More than a dozen kilometers in the air. NASA scientists say the eruption was equal between four and 18 mega tons of TNT. That is hundreds of times more energy than the atomic bomb dropped on Hiroshima, Japan in World War II. The eruption and tsunami killed at least three people and destroyed hundreds of homes.

Pope Benedict XVI has corrected the record, now admitting he attended a meeting about a priest accused of sexual abuse. The 94-year-old originally denied he was at the 1980 meeting in Germany. But on Monday, Benedict's private secretary says there was an error and the editing of his statement. And he was very sorry for the mistake. An independent investigation found Benedict failed to act on sexual abuse allegations when he served us Archbishop of Munich from 1977 to 1982.

Julian Assange can keep fighting his extradition to the U.S. The U.K. Supreme Court gave the WikiLeaks founder permission to try and appeal his case on Monday. Assange is accused of violating the espionage act when his website published classified documents in 2010.

The decision now opens the door for the U.K. high court to take up the case if it wants to. Assange has been in a British prison for almost three years after being kicked out of the Ecuadorian embassy. If sent to the U.S. and convicted, he could face up to 175 years in prison.

One month after liftoff, a special telescope has reached its final destination in space, more than 1.6 million kilometers away. Unlike the Hubble telescope that orbits the earth, the James Webb's space telescope will be orbiting the sun. NASA says, the telescope will appear into the atmosphere of exoplanets and basically bring us closer to uncovering the mysteries of the universe. The telescope has unfold a sunshield the size of a tennis court which will help protect its massive gold mirror from the sun's blistering rays.

Just incredible, isn't it? Thank you so much for your company. I'm Rosemary Church. Have yourself a wonderful day. "CNN Newsroom" continues now with Isa Soares.

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